Jack of All Games to Distribute Xbox

Take-Two Interactive Software,
Inc.’s Jack of All Games Subsidiary Appointed a Distributor of the Xbox Video
Game System From Microsoft

Take-Two Interactive Software, Inc.
(NASDAQ: TTWO) announced today that its Jack of All Games distribution
subsidiary has entered into an agreement with Microsoft for the distribution of
the revolutionary Xbox™ video game system and software in the United States.

Microsoft will be presenting at the
Jack of All Games Annual Conference in Cincinnati this week. More than 50 mid to
large U.S. retailers will attend the conference. Microsoft will present the
launch plans for Xbox, joining both Sony and Nintendo who will also be
presenting their second half product line-ups.

Paul Eibeler, President of Take-Two
Interactive Software Inc., stated, “We are very excited about working more
closely with Microsoft. This year we have expanded the retail storefronts we
distribute to by over 4,000, with new accounts such as Blockbuster Franchises,
Duckwall-ALCO, BJ’s Wholesale Club, Walgreens and Boscov’s Department
Stores. With both the Microsoft distribution agreement and our new accounts,
Jack of All Games is poised for another record breaking year.”

Jack of All Games will begin
shipping Xbox upon its release in North America on November 8, 2001 and the
Nintendo GAMECUBE™ on November 5, 2001.

Jack of All Games is one of North
America’s leading distributors of interactive entertainment software, hardware
and accessories to major mass merchandisers; video, electronic and toy stores;
national and regional drug stores; supermarket and discount store chains; and
specialty retailers.

About Take-Two Interactive Software,
Inc.

Headquartered in New York City,
Take-Two Interactive Software, Inc. is an integrated global developer, marketer,
distributor, and publisher of interactive entertainment software games and
accessories for the PC, PlayStation, Nintendo 64, Nintendo Game Boy Color,
Nintendo GAMECUBE, Nintendo Game Boy Advance, PlayStation®2 and the Xbox™.
The Company publishes and develops products through various wholly owned
subsidiaries including: Rockstar Games, GodGames, TalonSoft, Joytech, DMA
Design, PopTop, Global Star and under the Take-Two brand name. The Company
maintains sales and marketing offices in Cincinnati, New York, Toronto, London,
Paris, Munich, Vienna, Copenhagen, Milan, Sydney and Auckland. Take-Two’s
common stock is publicly traded on NASDAQ under the symbol TTWO. For more
corporate and product information please visit our website at
www.take2games.com.

About Xbox

Xbox (http://www.xbox.com/) is
Microsoft’s future-generation video game system that delivers the most
powerful games experiences ever. Xbox empowers game artists by giving them the
technology to fulfill their creative visions as never before, creating games
that blur the lines between fantasy and reality. Xbox will be available in North
America on November 8, 2001 at the suggested retail price of $299.99.*

*Reseller prices may vary.

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condition. Actual operating results may vary significantly from such forward
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