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Activision's Marvel: Ultimate Alliance Scores Award-Winning Composers

OR IMMEDIATE RELEASE

Santa Monica, CA - August 29, 2006 - Activision, Inc. (Nasdaq: ATVI) announced today that award-winning composers Chance Thomas (Peter Jackson's King Kong, Lord of the Rings series), Cris Velasco (God of War) and Mark Griskey (Best of LucasArts Original Soundtrack) have scored the upcoming, critically-acclaimed Marvel: Ultimate Alliance video game. The trio has produced over 50 minutes of original music for Marvel: Ultimate Alliance, including arrangements for multiple game levels, the in-game cinematics and the Super Hero and boss battle themes.

Marvel: Ultimate Alliance is Raven Software's highly anticipated action/RPG that allows players to create their Marvel dream team from the largest roster of Super Heroes ever in an epic quest that will determine the fate of Earth and the Marvel Universe. With over 140 popular Marvel characters and a playable cast of more than 20 Super Heroes, including Spider-Man, Wolverine, Blade and Captain America, gamers will embark on a dangerous journey across exotic terrain and well-known comic book locations like Atlantis, the Shield Heli-Carrier and the Skrull home world in an attempt to defy Dr. Doom and the world's most notorious Super Villains.

Marvel: Ultimate Alliance will be the first Super Hero game available this fall for all next-gen gaming systems. Additionally, the game will be available for current-gen consoles, handheld and PC platforms, and carries a "T" (Teen - Mild Language, Violence) rating by the ESRB.

About Marvel Entertainment, Inc.

With a library of over 5,000 characters, Marvel Entertainment, Inc. is one of the world's most prominent character-based entertainment companies. Marvel's operations are focused on utilizing its character franchises in licensing, entertainment, publishing and toys. Areas of emphasis include feature films, DVD/home video, consumer products, video games, action figures and role-playing toys, television and promotions. Rooted in the creative success of over sixty years of comic book publishing, Marvel's strategy is to leverage its character franchises in a growing array of opportunities around the world. More information about Marvel can be found at www.marvel.com.

About Activision, Inc.

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 net revenues of $1.47 billion for the fiscal year ended March 31, 2006.

Activision maintains operations in the U.S., Canada, the United Kingdom, France, Germany, Italy, Japan, Australia, Scandinavia, Spain, the Netherlands and South Korea. 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 made in this press release that are not historical facts are "forward-looking statements". These forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties. 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. Such factors include, without limitation, product delays, retail acceptance of our products, industry competition, rapid changes in technology and industry standards, protection of proprietary rights, litigation and an informal SEC inquiry, maintenance of relationships with key personnel, vendors and third-party developers, international economic and political conditions, integration of recently acquired subsidiaries and identification of suitable future acquisition opportunities. These important factors and other factors that potentially could affect the Company's financial results are described in our filings with the Securities and Exchange Commission, including the Company's most recent Annual report on Form 10-K and Quarterly Report on Form 10-Q. Readers of this press release are referred to such filings. The Company may change its intention, belief or expectation, at any time and without notice, based upon any changes in such factors, in the Company's assumptions or otherwise. The Company undertakes no obligation to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

Marvel, and all related character names and the distinctive likenesses thereof are trademarks of Marvel Characters, Inc. and are used with permission. Copyright Ó 2006 Marvel Characters, Inc. All rights reserved. www.marvel.com.

Super Hero(es) and Super Villain(s) are co-owned registered trademarks.

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