Dubai, 3rd September 2007 - Creative Labs Middle East, a subsidiary of Creative Technology Ltd (NASDAQ: CREAF), today launches its brand new range of stylish and innovative gadgets at the Fairmont Hotel, Dubai. Following the company's successful entry into other GCC markets, Creative also revealed its plan to renew its focus on the African region.

Creative pioneered the Sound Blaster sound cards market which launched the multimedia revolution and is now driving digital entertainment on the PC platform through its highly acclaimed ZEN line of digital media players. Creative gave the attendees a sneak peek into its line-up of upcoming devices and technologies from key categories of Portable Media Players, Speakers, Headphones, Web Cameras and Made-for-iPod products. Highlights include the all-new ZEN portable media player, GigaWorks T40 speakers, Aurvana X-Fi headphones, Avatar Creator software for web cameras and Xdock wireless audio streaming solution for the iPod.

ZEN - A card-sized music, video and photo player with a stunning 2.5-inch colour screen that supports up to 16.7 million colours

GigaWorks T40 - Professionally designed Midrange-Tweeter-Midrange speaker system that delivers the best audio performance with improved bass

Aurvana X-Fi - The world's first Xtreme Fidelity (X-Fi) active noise cancelling headphones that results in an unparalleled listening experience

Avatar Creator - New webcam software that enables users to create their very own cyber faces in their video conversations. With just a few mouse clicks, they can switch faces with their favourite superhero, rock star or even their pet, and be amazed at how their new faces act the same way they do.

Xdock Wireless - A wireless X-Fi music distribution system for the iPod

In addition, Creative discussed its new business initiatives and expansion into the fast-growing African market. Speaking at the launch, Sales Manager Jordan Lee says "To date, we are delighted to have found strong partners to support our business and vision in the Gulf. In our push into Africa, we aim to replicate our achievements in the GCC markets and are now seeking partners who are retail-focused and possess wide distribution networks in the continent. We are excited and look forward to establishing strong distribution channels and securing a healthy market share."

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About Creative
Creative (NASDAQ: CREAF) is a worldwide leader in digital entertainment products. Famous for its Sound Blaster sound cards and for launching the multimedia revolution, Creative is now driving digital entertainment on the PC platform with products like its highly acclaimed ZEN™ portable audio and media players. Creative's innovative hardware, proprietary technology, applications and services leverage the Internet, enabling consumers to experience high-quality digital entertainment -- anytime, anywhere.

© Press Release 2007