Netscape Acquires NewHoo! Community Directory Project to Provide Comprehensive Internet Directory Service via Netcenter and Smart Browsing

New 'Netscape Open Directory' Harnesses the Knowledge and Creativity of Over 4,500 Volunteer Editors and Scales to Size of Web

Mountain View, Calif. (November 18, 1998) - Netscape Communications Corporation (NASDAQ: NSCP) today announced that it acquired the NewHoo! Community Directory Project as a part of its plan to deliver the world's most comprehensive Internet directory search service via its fast growing Internet portal, Netscape Netcenter. The new service, called Netscape Open Directory, will be the first portal-based Internet directory to harness the knowledge and creativity of over 4,500 Internet 'volunteer editors' to empower consumers to find the information they want quickly and easily. In addition, Netscape Open Directory will be used to provide recommended sites for users of Netscape Netcenter's Smart Browsing service, offered through the popular Netscape Communicator browser software.

This announcement falls on the heels of Netscape's acquisition of AtWeb, Inc., and is another significant step in Netscape's plans to provide Netcenter users with smart tools and services that enable them to take charge of their Internet experience. By introducing an interactive element to the search and navigation infrastructure, Netscape Open Directory also gives Netscape a distinct competitive advantage, because, unlike other directory search services, it can grow with the Web - resulting in fresher content and fewer dead links.

"With the Internet growing rapidly and more services and content coming online each day, the open community directory model pioneered by NewHoo! offers the only solution to the problem of how to scale and organize the Web," said Mike Homer, executive vice president and general manager of Netscape's Netcenter division. "Since its inception, and further evidenced through the creation of mozilla.org, Netscape has been committed to fostering the creative energies of the Internet community. The new Netscape Open Directory furthers that commitment, and we welcome NewHoo! and the thousands of volunteer editors to the Netscape team as we create the most comprehensive and interesting Web directory in the world."

Netscape Open Directory will be integrated with existing Netscape Netcenter services and will be made available through mozilla.org, a popular Netscape technology clearinghouse that will act as a central point of contact and community for those interested in using or improving the new search service.

"We started out with the vision and the model to build the largest and highest-quality, human-edited directory of the Internet," said Rich Skrenta, chief executive officer and co-founder of NewHoo! "We believe Netscape's spirit of open development, as demonstrated by mozilla.org, combined with the portal strength of Netscape Netcenter will enable us to build the most comprehensive and up-to-date Internet directory search service in the world."

Today, the NewHoo! directory includes more than 100,000 Web sites, classified in more than 24,000 different interest categories, such as business, science and sports. In total, the NewHoo! directory project includes more than 4,500 editors located throughout the world. By working with the thousands of volunteer editors, as well as enlisting the support of several professional library organizations, nonprofits and educational institutions, Netscape plans to build a knowledge base that will result in the largest, human-edited directory of the Web.

Volunteers interested in using or improving the Netscape Open Directory can get more information from http://directory.mozilla.org, where Netscape will offer a special license, similar to the mozilla.org open source code development license, to allow individuals and organizations to take advantage of and use copies of the directory that they can crawl, archive and reuse on their machines.

In addition to offering it as a stand-alone directory, Netscape will explore many new ways of integrating Netscape Open Directory with various Netcenter channels and services, such as Smart Browsing, Community Forums, My Netscape, Custom Netcenter and International Netcenter. This will result in better search and navigation services for Netcenter users, greater exposure for the volunteer editors' work, and more traffic for sites listed in Open Directory.

NewHoo! is a directory-based search service whose categories and editorial content are provided by volunteers from all over the Web. Signing up as an editor is easy: One can simply choose a topic and join. The NewHoo! Community Directory Service was founded in 1998 by Rich Skrenta, Bob Truel, Chris Tolles, Jeremy Wenokur and Bryn Dole to provide the largest and most comprehensive directory of the Internet.

Netscape Netcenter is Netscape's fast-growing portal site, which provides users with a home base on the Internet. From Netcenter, users can navigate the Internet, access a broad range of consumer and business content and services and communicate with others online. The site includes seventeen content channels and a set of leading-edge services, including Netscape-branded Search, Netscape Contact, SmartUpdate, Software Download, Member Directory, the My Netscape personalization service and WebMail.

Netscape Communications Corporation is a leading provider of software and services for businesses that want to transform the way they create and keep customers in the emerging Net Economy. The company offers a full line of enterprise software solutions, professional services, and a leading Internet portal to help companies build, buy or outsource Internet applications that drive revenue growth, build customer loyalty, and create new levels of business efficiency. Traded on NASDAQ under the symbol NSCP, Netscape Communications Corporation is based in Mountain View, California.

Additional information on Netscape Communications Corporation is available on the Internet at http://home.netscape.com, by sending email to info@netscape.com, or by calling 650/937-2555 for corporations or 650/937-3777 for individuals.

Netscape and the Netscape N Logo are registered trademarks of Netscape Communications Corporation in the United States and other countries. Other Netscape logos, product names, and service names, including Netcenter, Smart Browsing, Netscape Contact, Mozilla and Netscape Open Directory are also trademarks of Netscape Communications Corporation. Other product and brand names are trademarks of their respective owners