For Immediate Release

For more information, contact:
Scott McLaughlan

BioWare Forms New Development Relationship:

Exploring Projects With Feargus Urquhart's Obsidian Entertainment

EDMONTON, Alberta, Canada, August 6, 2003 – BioWare Corp. and Obsidian Entertainment, Inc. jointly announced a commitment to explore opportunities for collaboration in the development of PC and console games.

"BioWare is currently in the fortunate position of having more attractive looking opportunities on the table than we’re capable of implementing while staying true to our fans’ expectations of a quality gaming experience. We think several of these opportunities have the potential for critical and commercial success and are interested in exploring ways in which BioWare can expand its capacity to bring these projects to market," said Dr. Greg Zeschuk, Joint CEO, BioWare Corp.

"BioWare is interested in establishing relationships with credible development studios that have the desire and capability to implement projects consistent with our quality expectations. Obsidian represents a perfect example of this strategy. We’re very pleased to have the chance to work with teams which have a demonstrated track record of developing world class titles," commented Dr. Ray Muzyka, Joint CEO, BioWare Corp.

"A collaboration with BioWare gives Obsidian the opportunity to explore development projects on established game franchises with proven technology and brand loyalty from the fan community. This is an excellent opportunity for a new studio looking to make an immediate impact in the market," said Feargus Urquhart, CEO, Obsidian Entertainment, Inc.

About BioWare

BioWare Corp. is an electronic entertainment company that develops computer and console games. BioWare's developers are currently hard at work on Star Wars:® Knights of the Old Republic^TM (to be published by LucasArts) for the PC. Development continues on the Neverwinter Nights^TM expansion pack (to be published by Atari) - Neverwinter Nights: Hordes of the Underdark^TM planned for a fall 2003 release. Two currently untitled projects, one an Xbox title (to be published by Microsoft), the other a PC title (no publisher yet announced), both featuring original BioWare intellectual properties, are also in development. Star Wars:® Knights of the Old Republic,^TM released July 18, 2003 for the Xbox is currently enjoying critical praise and great commercial success with its opening weekend launch ending with Microsoft proclaiming the title as the fastest selling Xbox game in history. Previously published projects include: the award winning Neverwinter Nights,^TM the genre-defining Baldur's Gate^TM role playing game series for the PC, MDK^TM2 for Dreamcast and PC, MDK^TM2: Armageddon for PlayStation®2 and Shattered Steel^TM. BioWare information can be found online at www.bioware.com.

About Obsidian

Obsidian Entertainment, Inc. was founded by five industry veterans with over forty years of combined experience in the Electronic Entertainment industry and is passionately dedicated to the development of next generation games for the PC and console platforms. Obsidian is currently working on an unannounced role-playing game for the PC and console platforms. For more information please visit www.obsidianent.com.

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