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Maxtor Announces Compaq, Microsoft, and VIA Technologies Ready To Shatter Capacity Limits on ATA Disk Drives

      'Big Drive' Standard Allows Significantly Greater Storage Capacity

    MILPITAS, Calif., June 26 /PRNewswire/ -- PC EXPO/TECHXNY -- Maxtor
Corporation (NYSE: MXO) announced today, in conjunction with Compaq Computer
Corporation, Microsoft Corporation, VIA Technologies and others, support for
the industry's next generation ATA interface standard that breaks the 137GB
barrier for ATA hard drives.  This breakthrough allows the creation of ATA
hard drives that can access more than 100,000 times more data than the current
137GB interface standard.
    "By leading the industry effort to move to capacities up to 144 petabytes
(PB), Maxtor has helped lay the foundation for future storage technologies,"
said Ted Deffenbaugh, vice president of product strategy for Maxtor.  "By
supporting the standard, which we have submitted to the ANSI T13 committee,
Compaq, Microsoft, VIA Technologies, and other companies have increased the
ability of hard drives and other supporting technologies to access greater
amounts of information."
    "Surpassing the 137GB limit is another notch in the evolution of storage
capacity.  We are very pleased to be working with Maxtor to enable increased
capacity for our mutual customers," said Rob Short, vice president of Windows
based operating system development at Microsoft Corporation.  "Customers are
participating in an increasing number of storage intensive scenarios such as
data warehousing, application servicing, multimedia, video and music.
Increasing the drive limit allows them to easily meet their needs with fewer
drives and, in the case of enterprises, in far less physical space."
    "On average, we hit a capacity barrier every six years," said Dave
Reinsel, senior research analyst, IDC.  "At the current rate of storage,
reaching 144PB will take care of the industry's capacity issues for the next
20 years."
    The "Big Drive" interface initiative succeeds in breaking through the
barrier with an upgraded ATA interface allowing for up to 48 bits of address
space on a single drive, and therefore the maximum capacity of an ATA device
up to 144PB.
    In addition to Maxtor, notable industry players such as Compaq Computer
Corporation, Microsoft Corporation, CMD/Silicon Image, ONTRACK Data
International, Inc., Phoenix, Promise Technology, StorageSoft, and VIA
Technologies are all committed to delivering solutions to the 137GB capacity
barrier.
    End users who want to break the 137GB barrier can get further information
at Maxtor's "Big Drive" Initiative Web site (http://www.maxtor.com/bigdrive) about
technology requirements and participating vendors.  Suppliers who want to
participate in "Big Drive" should inquire via bigdrive@maxtor.com.  "Big
Drive" is a non-copyrighted and freely licensed logo and artwork.  Partners
and manufacturers that support the new standard will have free access to the
"Big Drive" logo to inform their customers that they can use "Big Drives" in
their system or peripherals.
    Maxtor has submitted the new proposal to the National Committee on
Information Technology Standards (NCITS).  NCITS is accredited by and operates
under rules approved by the American National Standards Institute (ANSI).
    Also at PC EXPO, Maxtor will demonstrate several of its storage products
at booth 4354.  These include the Maxtor 536DX (100GB hard drive), the Maxtor
D540X and the Personal Storage(TM) 3000DV external storage device.

    About Maxtor
    Maxtor Corporation (http://www.maxtor.com) is one of the world's leading
suppliers of information storage solutions.  The company has an expansive line
of storage products for desktop computers, high-performance Intel-based
servers, network attached storage and consumer electronics.  Maxtor has a
reputation as a proven market leader built by providing consistent
high-quality products, and service and support for its customers.  Maxtor and
its products can be found at http://www.maxtor.com or by calling toll-free
(800) 2-MAXTOR.  Maxtor is traded on the NYSE under the MXO symbol.

    Disclaimer
    Maxtor does not warrant "Big Drive" software, hardware or other solutions,
and a vendor listing on Maxtor's "Big Drive" Web site does not signify that
the product has been tested or approved by Maxtor.

    Forward-Looking Statement
    This announcement relating to Maxtor may contain forward-looking
statements concerning future technology, products incorporating that
technology, and Maxtor's execution.  These statements are based on current
expectations and are subject to risks and uncertainties which could materially
affect the company's results, including, but not limited to, market demand for
NAS file servers, the company's ability to execute future production, pricing,
competition, and the significant uncertainty of market acceptance of new
products.  These and other risk factors are contained in periodic reports
filed with the SEC, including, but not limited to, Maxtor's most recent form
10-K for fiscal 1999, its recent 10-Qs and the recent S-4 Registration
Statement.



SOURCE Maxtor Corporation




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    CONTACT:
    Emory Epperson, 408-894-4959,
    emory_epperson@maxtor.com; or Jenifer Kirtland, Maxtor investor
    relations, 408-324-7056; or Grace Angulo, Maxtor public
    relations, of Wilson McHenry Company, 510-723-6212,
    gangulo@wilsonmchenry.com, all for Maxtor Corporation