ACTIVISION COMMENCES DEVELOPMENT ON THE FOURTH PRODUCT IN TONY HAWK’S PRO SKATER™ FRANCHISE

Premier Game Developer Neversoft Entertainment Set to Create Sequel to Top Brand

Santa Monica, CA – December 17, 2001 -- Activision, Inc. (Nasdaq: ATVI) confirmed today that the company is currently in development on the fourth product in the Tony Hawk’s Pro Skater™ franchise, one of the largest brands in interactive entertainment. The game, which is being created by premier developer Neversoft Entertainment, will feature the signature gameplay, top-rated skaters and intuitive controls that have made the franchise a critical and commercial success. The title is slated for release in fiscal year 2003.

According to NPD’s TRSTS Data, Tony Hawk’s Pro Skater was the #1 franchise across all console and handheld platforms for the month of October. The franchise is currently comprised of three products – Tony Hawk’s Pro Skater, Tony Hawk’s Pro Skater 2 and Tony Hawk’s Pro Skater 3 – which span multiple hardware platform and range in price from $19.99 - $49.99.

For the week ending December 8, 2001, Tony Hawk’s Pro Skater 3, was the #3 best-selling title for the PlayStation® 2 computer entertainment system, the #5 title for the Nintendo® GameCube™ and the #2 game for the PlayStation® game console, according to NPD’s TRSTS Data.

“Video gamers have come to rely on the Tony Hawk Pro Skater series to push the boundaries of what is fun in a video game,” stated Larry Goldberg, executive vice president of worldwide studios for Activision. “ By taking full advantage of the power and capabilities of the next-generation platforms, the Neversoft team will take the game to an all-new level of interactivity and fun.”

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 revenues of $620 million for the fiscal year ended March 31, 2001.

Activision maintains operations in the U.S., Canada, the United Kingdom, France, Germany, Japan, Australia, and the Netherlands. 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 contained in this release that are not historical facts are “forward-looking statements.” 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. These important factors, and other factors that could affect Activision, are described in Activision’s Annual Report on Form 10-K for the fiscal year ended March 31, 2001, which was filed with the United States Securities and Exchange Commission. Readers of this press release are referred to such filings.