Santa Monica, CA - March 22, 2002 - Activision, Inc. (Nasdaq: ATVI) is setting a new course for the popular Starfleet Command franchise with the announcement of Star Trek Starfleet Command® III for the PC. A tactical starship simulator, Star Trek Starfleet Command III will be the first title in the game series to take place in the Star Trek: The Next Generation® timeline. Star Trek Starfleet Command III, being developed by Taldren, Inc., is expected to be available this holiday season and has not yet been rated by the ESRB.

"The Starfleet Command series captures the spirit and style of Star Trek by offering large-scale, ship-to-ship tactical combat," states Larry Goldberg, executive vice president, Activision Worldwide Studios. "Star Trek Starfleet Command III reinvents the legendary series by bringing it into the Star Trek: The Next Generation universe and introducing powerful new ship customization, more in-depth story missions, and a streamlined interface."

Similar to the earlier games in the SFC franchise Star Trek Starfleet Command III allows gamers to optimize their ship and allocate power to their ship's systems for different types of strategies such as hit-and-run maneuvers, ambushes or direct assaults. However, Star Trek Starfleet Command III simplifies this process by introducing a new interface for system management that reduces the "micromanagement" of starship control, and allows players to focus on combat. Additionally, for the first time in any Star Trek game players can significantly customize their vessel's weapons, engines, shields and other systems. As players progress through the game, they can acquire better phasers and disruptors, stronger shields and outfit their ship with new special weapons. Star Trek Starfleet Command III also pushes the boundary of the genre by incorporating RPG elements into the experience. Over the course of the game, officers under the player's command will gain experience and acquire unique skills which increases the ships overall efficiency and enable the player to employ advanced attacks. Players can also choose to recruit new and more experienced officers to maximize the overall effectiveness of their ship.

The single player portion of Star Trek Starfleet Command III consists of three separate campaigns where gamers have the opportunity to play as the Klingons, Romulans and the Federation. Initially, players will be given command of a ship with limited capabilities, but after the completion of a successful mission, they will accrue prestige points that they can spend on more powerful ships, system upgrades or officers. In the game players will have the opportunity to control over 25 legendary vessels from Star Trek: The Next Generation such as the Sovereign-class starship, the Romulan Warbird, the Borg Cube, and the Klingon Neghvar-class battleship, as well as several original ship designs. The campaign's progress and the state of the universe can be tracked from a large map that will reflect the political allegiance of hundreds of sectors.

Star Trek Starfleet Command III will also feature a multiplayer "skirmish mode" where players can engage in combat as any of the three playable races from the campaign or as the Borg. Skirmish mode offers instant action-style free-for-all and team-based multiplayer games. Star Trek Starfleet Command III also includes an enhanced version of the Dynaverse 3 multiplayer environment. This persistent online component will feature improved AI and a new system that allows players to join the same fleet, travel together across the map and battle alongside one another for galactic dominance.

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Headquartered in Santa Monica, California, Activision, Inc. is a leading worldwide developer, publisher and distributor of interactive entertainment and leisure products. Founded in 1979, Activision posted revenues of $620 million for the fiscal year ended March 31, 2001.

Activision maintains operations in the U.S., Canada, the United Kingdom, France, Germany, Japan, Australia, and the Netherlands. More information about Activision and its products can be found on the company's World Wide Web site, which is located at www.activision.com.

The statements contained in this release that are not historical facts are "forward-looking statements." The Company cautions readers of this press release that a number of important factors could cause Activision's actual future results to differ materially from those expressed in any such forward-looking statements. These important factors, and other factors that could affect Activision, are described in Activision's Annual Report on Form 10-K for the fiscal year ended March 31, 2001, which was filed with the United States Securities and Exchange Commission. Readers of this press release are referred to such filings.