NVIDIA and Acclaim Entertainment, Inc. Form Strategic Alliance

Companies Team Up to Deliver Next-Generation 3D Entertainment Titles
ELECTRONIC ENTERTAINMENT EXPO, LOS ANGELES, CA -- May 12, 1999 -- NVIDIATM Corporation (Nasdaq: NVDA) and Acclaim Entertainment, Inc. (Nasdaq: AKLM) announced today at the Electronic Entertainment Expo (E3) that the two companies have entered into a strategic alliance aimed at leveraging their respective strengths in hardware and software development to push the PC gaming experience to new levels. In addition to the planned technical collaboration, this alliance will allow the companies to jointly participate in various marketing activities and promotions. Accounting for graphics performance increasing by a factor of 8 every 18 months and typical game development cycles taking 18 months or more, this strategic alliance enables NVIDIA and Acclaim to anticipate and plan for key changes in product plans as well as influence the design of both software and hardware.

"Given the dynamics of radically increasing 3D horsepower and the long development cycles of the game industry, it's vital that we work closely with key developers and publishers to maximize the value of the combined products," said Michael Hara, vice president of corporate marketing at NVIDIA. "Acclaim is one of the most recognized publishers in the game industry, and we are truly excited about the opportunity to take the gaming genre to the next level with them."

"We're very excited to be working with NVIDIA on our upcoming PC games like Shadow Man, Re-Volt and TrickStyle. The combination of our technology and NVIDIA's hardware is really going to blow gamers away," added Geoffrey Mulligan, vice-president of business development at Acclaim Entertainment, Inc. "Working hand-in-hand with NVIDIA is one part of Acclaim's strategy to stay on the cutting edge of PC gaming."

Partnership To Provide Hardware, Software Access
This strategic relationship provides Acclaim with advanced access to NVIDIA's current and future hardware, software and development tools to maximize both image quality and performance under Microsoft's Direct3D and SGI's OpenGL Application Programming Interfaces (API). As a result, the alliance is expected to provide an ongoing release of optimized 3D titles designed using the latest hardware from NVIDIA. Acclaim's 3D titles that have been quality tested and optimized to take advantage of NVIDIA's family of 3D processors will bear the NVIDIA logo on the package.

NVIDIA Family Processors
The RIVA family of 3D/2D processors, the RIVA TNT2TM, RIVA TNTTM, RIVA 128ZXTM and the RIVA 128TM is the first family of high performance processors for the performance mainstream PC market. The RIVA processors utilize a 128-bit pipeline to support the computational throughput required for current and future graphically intense applications. The NVIDIA VantaTM 3D/2D processor is the first in a family of 3D processors designed for the enterprise PC market. Based on the award winning RIVA TNT2 architecture, the NVIDIA Vanta processor is designed for Windows 2000 and the burgeoning market for enterprise visualization applications. By leveraging its graphics technology and massive gate counts, all NVIDIA processors are able to deliver stunningly realistic, high frame rate 3D, along with benchmark winning 2D, VGA and video acceleration in single chip solutions. NVIDIA processors are optimized for both Direct3DTM and OpenGL.

NVIDIA Corporation (Nasdaq: NVDA) designs, markets and sells a complete family of award winning 3D processors that deliver industry-leading performance and visual quality for a broad range of PC applications, including: enterprise visualization, e-commerce, e-business, entertainment and education. Corporate headquarters are located in California: 3535 Monroe Street, Santa Clara, California 95051. For more information visit the Company's web site at http://www.nvidia.com.

About Acclaim Entertainment, Inc.
Acclaim Entertainment, Inc. is a leading worldwide developer, publisher and mass marketer of software for use with interactive entertainment platforms including Nintendo, Sony and Sega hardware systems, and PCs. Acclaim owns and operates four studios located in the United States and the United Kingdom, and publishes and distributes its software directly in North America, the United Kingdom, Germany, France and Australia. Acclaim also distributes entertainment software for other publishers worldwide, and publishes comic books and software strategy guides. Acclaim's headquarters are in Glen Cove, New York and Acclaim's common stock is publicly traded on Nasdaq under the symbol AKLM. For more information please visit Acclaim's website at http://www.acclaim.net.
Except for the historical information contained herein, this press release contains forward-looking statements that involve risks and uncertainties and actual results may differ materially. Factors that may affect NVIDIA's actual results include the impact of competitive products and pricing, technological changes in products and components, the ability to timely and successfully develop and produce in volume new products and modifications to existing products, market acceptance of new products and modifications to existing products and conditions in the PC market. Further information on factors that could affect the financial results of NVIDIA is included in the Registration Statement on Form S-1, dated January 22, 1999, filed with the Securities and Exchange Commission.
Notes to Editors: Please note that the recommended way of writing NVIDIA, RIVA 128, RIVA 128ZX, RIVA TNT and RIVA TNT2 is all CAPITALS.
NVIDIA, the NVIDIA logo, RIVA TNT, RIVA TNT2 and NVIDIA Vanta are trademarks of NVIDIA Corporation. RIVA, RIVA 128 and RIVA 128ZX are trademarks of NVIDIA Corporation and STMicroelectronics. Other company and product names may be trademarks or registered trademarks of the respective companies with which they are associated.