Consumer Electronics Show (CES) - LAS VEGAS (Suite # N227-N228) – January 5, 2006 – With the goal of making data backup and protection effortless, Maxtor Corporation (NYSE: MXO) announced today a new family of Maxtor OneTouch III external storage and backup solutions that offer a range of features, capacities and performance for home users, creative professionals and business executives. Available on retail shelves starting this month, the line of Maxtor OneTouch III storage solutions, with capacities from 100GB to one terabyte (1,000 GB), provide easy-to-use, automated backup and restore capabilities for PC and Mac users. New software tools, including the ability to synchronize data between two or more computers and a System Rollback feature that helps return PC systems to a healthier state after a damaging spyware attack, are now integrated into the entire Maxtor OneTouch III family of products.

The Maxtor OneTouch III solution, with a triple FireWire 800/FireWire 400/USB 2.0 interface, was selected as a CES 2006 Innovations Design and Engineering Honoree in the Computer Accessories category. It was chosen for its engineering qualities, the product's intended use/function, unique features, and aesthetic and design qualities, among other reasons. To meet the needs of mainstream creative and business professionals, Maxtor is offering the Maxtor OneTouch III with dual interfaces, FireWire 400 and USB 2.0, for quickly and easily backing up photos, music and data. For the home PC market, the company is offering a USB 2.0-only interface model that provides basic file-level backup capabilities.

Like the 1TB Maxtor OneTouch III, Turbo Edition launched in October 2005, the expanded Maxtor OneTouch III family sports an innovative new industrial design, an improved consumer friendly user interface and a redesigned retail package from award-winning consulting firm frog design inc. Built to last, the Maxtor OneTouch III family features improved acoustics, an inner disk drive casing and shock mounts for additional durability and drive protection. The entirely new user interface is simple to navigate for both Mac and PC users, making it easier to set up and manage data backup, file archiving and system settings. All Maxtor OneTouch external storage and backup systems come with an added data security feature called Maxtor DriveLock, which provides a password protection option to safeguard contents if the drive is ever lost or stolen.

"Digital entertainment and data have become absolutely integral to our everyday lives, for people and businesses, but the vast majority of us still don't protect valuable files by backing them up," said Stacey Lund, vice president of marketing, Maxtor Branded Products Group. "At Maxtor, we strive to bring innovative solutions to market that make it simple to expand, share, and protect your digital life. Our new Maxtor OneTouch III family is designed from the inside out to be the easiest, most trustworthy way to back up and store photos, videos, games, music, business data and personal information."

Based on customer feedback and innovative technologies, Maxtor has added Sync, the ability to automatically synchronize files between two or more systems on the same operating platform, across its new family of Maxtor OneTouch III storage solutions. Increasingly, customers want to share data easily and automatically between home and office, synching files and folders in both computers. Also, to combat spyware, adware and computer registry issues that can slow a system to a crawl or even a screeching halt, the new Maxtor OneTouch III product family includes a System Rollback feature that reverts the system to a healthier point in time while preserving the most current user data in Word and Excel documents, photos, music and other digital files. System programs that can be rolled back in time include operating system, settings and applications.

Maxtor OneTouch III external storage and backup solutions will be available starting in January at major retailers, distributors and online stores, as well as at www.maxstore.com. Worldwide availability varies by region. The Maxtor OneTouch III with a triple interface will be available late in Q1 2006. Please visit www.maxtor.com for local distribution channels and retail outlets.

The manufacturer's suggested retail price (MSRP) for the Maxtor OneTouch III family ranges from $159.95 for the 100GB USB 2.0 only version to $479.95 for the 500GB triple interface solution. MSRP for the 1TB Maxtor OneTouch III, Turbo Edition is $899.95.

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