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Logitech and Skype Announce Marketing Agreement

Nov 17, 2004

Range of Co-Marketing Initiatives Includes Free Trial Offer of SkypeOut Service with Logitech USB Headsets

FREMONT, Calif., Nov. 17, 2004 and ROMANEL-SUR-MORGES, Switzerland and LUXEMBOURG, Nov. 18, 2004 -- Logitech (SWX: LOGN) (NASDAQ: LOGI), the world's leading provider of personal peripherals, and Skype, the Global Internet Telephony Company , today announced an agreement to work together on marketing and promotional initiatives.

As part of the agreement, Logitech will bundle up to 120 minutes worth of free vouchers for SkypeOut -- the pre-pay service that allows Skype users to call traditional phone numbers -- with Logitech USB Headsets sold in Europe, the United States and Canada. The free SkypeOut trial will enable customers of Logitech USB Headsets to experience clear voice communications from their PC to people using a telephone or mobile phone, around the world. In addition, they will be able to use the Skype service to talk to other Skype users on PCs around the world, free of charge. The two companies will also promote the other's products on their respective Web sites.

The packaging of qualifying Logitech audio products will indicate that the products are "Skype Certified." In the future, Logitech and Skype may extend the geographical reach of their co-marketing initiatives, and evaluate possible cooperation in product development.

Skype is revolutionizing the world of telecommunications by allowing its 15 million users to make superior-quality voice calls via their PC over the Internet to other Skype users for free, or to any landline or mobile phone worldwide at local rates.

"Logitech's PC headsets, which offer comfort, convenience and superior audio, are the perfect complement to Skype's Internet telephony services," said Bob Wick, senior vice president of Logitech's Audio and Interactive Entertainment business units. "This marketing agreement will help both Logitech and Skype expose our mutual customers to the value of high-quality voice communications over the Internet."

"Logitech has a strong retail presence in the US, Europe and Asia," said Niklas Zennström, Skype CEO and co-founder. "We admire Logitech's focus on quality, innovation and style and are pleased to execute this agreement."

About Logitech

Founded in 1981, Logitech designs, manufactures and markets personal peripherals that enable people to effectively work, play, and communicate in the digital world. Logitech International is a Swiss public company traded on the Swiss Stock Exchange (LOGN) and in the U.S. on the Nasdaq National Market System (LOGI). The company has manufacturing facilities in Asia and offices in major cities in North America, Europe and Asia Pacific.

Skype Technologies S.A.

Skype, the Global Internet Telephony Company™, allows people everywhere to make free, unlimited, superior quality voice calls via its innovative peer-to-peer software. Skype is available in 20 languages and is the fastest growing voice communications offering worldwide. Since its launch in August 2003, Skype has been downloaded more than 32 million times. Skype Technologies S.A. is headquartered in Luxembourg and is growing its offices in London and Tallinn. Skype Technologies is privately held and backed by top-tier international venture capital firms, including Bessemer Venture Partners, Draper Fisher Jurvetson, Index Ventures, and Mangrove Capital Partners. www.skype.com

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Logitech, the Logitech logo, and other Logitech marks are owned by Logitech and may be registered. All other trademarks are the property of their respective owners.

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