Compaq, API, and Samsung Set Long-Term Growth Strategy for Alpha 


Houston, Dec. 13,  1999  --  Compaq  Computer  Corporation  (NYSE:  CPQ),  Alpha
Processor, Inc., (API), and Samsung Electronics Co., Ltd.  today  announced  the
expansion  of  their  relationship  with  the  signing  of   a   memorandum   of
understanding will result in a $500 million combined investment to advance Alpha
market opportunities and technologies.

Building upon recent announcements illustrating  each  company's  commitment  to
Alpha, the companies are making unique and  joint  technology  contributions  as
well as development and marketing investments to expand opportunities in growing
and emerging markets for Alpha.

The investment commitment by  Compaq,  API,  and  Samsung  will  extend  Alpha's
leadership in enterprise environments including a significant focus  on  NonStop
(tm) eBusiness solutions. Through the technology and product  expertise  of  the
three organizations, this agreement helps expand Alpha into new  growth  markets
such  as  fixed-function  servers,  network  appliances,  and  Internet  network
infrastructure.

"API, Compaq, and Samsung recognize the business growth potential for Alpha  and
will leverage next-generation Alpha performance  solutions  to  make  technology
advances that ensure its leadership position," said  Dr.  Daeje Chin,  executive
vice president and chief technology officer at Samsung Electronics and  chairman
and chief executive officer at API. "Over the  next  decade  this  collaboration
will continue to expand and thrive. For example, we believe this agreement  will
lead to additional investments by these three companies exceeding  $1.5  billion
during the next five years."

"Compaq continues to build its worldwide Internet infrastructure leadership  and
Alpha technology is a strategic element in that effort," said Michael  Capellas,
Compaq President and CEO. "As the industry's  most  powerful  64-bit  processor,
Alpha is one of the key technologies for high-performance computing and  NonStop
(tm) eBusiness. With API and Samsung, we are jointly reinforcing  our  long-term
commitment to Alpha and we are committed to expanding Alpha in target markets."

Areas of focus aimed at expanding the Alpha market include:

- Investment by Samsung in semiconductor manufacturing process advancements such
  as copper interconnect, low-K dielectric and silicon-on-insulator technology.

- Previously announced incremental funding by Compaq in Tru64 UNIX/Alpha  market
  development. This targets a 400% increase in ISV support funding, doubling  of
  pre/post sales support resources, and an aggressive, worldwide marketing
  campaign.

- Business development investment which will enable Alpha to penetrate  new  and
  emerging markets such  as  fixed-function  servers,  network  appliances,  and
  Internet network infrastructure. As owner of the technology, Compaq  continues
  demonstrating its commitment to broadening  the  market  for  Alpha  with  the
  expansion of the Alpha architectural license to include API.

- A framework for implementing next-generation Alpha EV7 technologies by Samsung
  and API.

- Commitment to Linux with ISV partnerships such as Cygnus which will result  in
  a  set  of  Alpha-based  tools  for  the  Open  Source  community  that   will
  significantly increase the  number  of  Alpha  Linux  applications.  Alpha  is
  currently providing leading price/performance in the entry point to  the  HPTC
  market with Linux-based Beowulf clusters.

- Collaboration between API and AMD on related technologies, such  as  Lightning
  Data Transport (LDT), which will expand reach of Alpha in the market.

Network Appliance, an example of a company building  network  file  servers  and
Internet cache  appliances,  is  basing  its  products  on  Alpha  technologies.
"Leveraging cutting-edge Alpha technology, NetApp can offer customers enterprise
solutions that help them simplify complex data management. For  high  bandwidth,
high performance workloads on our appliances, the  power  of  Alpha  provides  a
significant competitive advantage," said Dan Warmenhoven,  President  and  Chief
Executive Officer at Network Appliance, Inc. "The commitment to  Alpha  by  API,
Compaq, and Samsung is encouraging and indicates that its future is solid."


About Alpha Processor, Inc. (API)

API, located in Concord, Massachusetts, is  dedicated  to  the  development  and
marketing of Alpha - the world's fastest 64-Bit  microprocessor  -  and  related
technologies. As an independent Alpha architecture  licensee,  Alpha  Processor,
Inc. engineers microprocessors, Alpha platforms and leading edge  system  logic.
The company is committed to delivering the  industry's  best  price/performance,
open-standard platform solutions to its customers and system partners worldwide.

For additional information on these products,  the  company  or  for  the  sales
contact  nearest  you,  please  consult  Alpha  Processor  Inc.'s   Website   at
www.alpha-processor.com.