America Online and Netscape Announce AOL's Digital City to Become Exclusive Local Content to Netcenter Portal Site

August 3, 1998

Dulles, VA, and Mountain View, CA, August 3, 1998 -- AOL's Digital City, Inc. and Netscape Communications Corporation (NASDAQ:NSCP) announced today that they have reached a two-year strategic agreement to make Digital City the exclusive local content provider to the local channel of Netscape's Netcenter. AOL's Digital City's unparalled local content and community guides for the 50 top U.S. metropolitan markets will be the Local Channel of Netscape's newly redesigned and expanded portal site, Netcenter. Under the agreement, the Netcenter Local Channel will be co-branded by Netscape and AOL's Digital City. The co-branded channel, which will be hosted under Netscape's domain - Netscape.com, will incorporate a similar navigation scheme and look and feel to the other channels on Netcenter. The new service is expected to be available in the next 60 days. Netscape will aggressively promote Netcenter's Local Channel with a local button on its homepage and links throughout other areas of its service. According to IPRO, Netcenter now receives more than 8.5million unique visits each day. "We are delighted that this agreement with Netscape will make AOL's Digital City -- already the nation's #1 local content network and community guide -- available to more users on the Web through Netcenter," said Bob Pittman, President and Chief Operating Officer of America Online, Inc. "Millions of Netscape users will now be able to benefit from Digital City's valuable services, extensive local community resources and information." Netcenter's Local Channel, programmed by AOL's Digital City, will feature local perspectives and information on headline news, weather, sports, entertainment listings, movie listings, dining guides, event guides, auto guides and relocation guides. Netscape and AOL's Digital City will also integrate local community building features such as message boards and real-time chat. Users of the Netscape browser will also be able to easily access the Netcenter Local Channel programmed by Digital City. "The agreement with AOL marks another step in our aggressive efforts to build out content for the millions of users who visit Netscape Netcenter each day," said Jim Barksdale, President and Chief Executive Officer of Netscape. "By partnering with the nation's #1 provider of local content - AOL's Digital City - we are furthering our strategy of providing our members with best-of-breed content. We are pleased to expand our existing relationship with America Online by offering Digital City's unmatched local content and community guides." This exclusive pact with Netscape is also a new opportunity for advertisers to tap into Digital City's unmatched community of AOL's 12 million members, Compuserve's members, millions of Digital City Web users, AOL.com users and now millions more Netscape users with one local or national buy. Under the agreement, Netscape will be responsible for national advertising within the service and Digital City will sell local advertising. An AOL Studio's business, Digital City is the first local content network with a presence in 50 US markets. Digital City now reaches the hometowns of millions of AOL and Netcenter members and even millions more on the Web. Netscape Netcenter 2.0 currently includes seventeen content channels, a set of new leading-edge services including a Netscape-branded Search, SmartUpdate, Software Download, WebMail and Member Directory.

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