BEIJING, CHINA, February 25, 2003 - SOHU.COM Inc. (Nasdaq: SOHU), China's leading online media, communications, commerce and mobile value-added services company, has today announced the release of its first three-dimensional online game in China, Knight Online. SOHU’s strategic advance into the online games industry coincides with the fifth anniversary of the SOHU web site (www.sohu.com).
"SOHU's move into the online game arena builds on the Company's success to date of turning our users into paying consumers, leveraging our online product, user base and brand. Our corporate strategy focuses on further diversifying revenues within our online competence and building up new revenue streams from our existing assets on a stable cost base, bringing into full play the scalability of our Internet focused business model. Online games is a developing industry with very promising potential in China," said Charles Zhang, Chairman and CEO of SOHU.

Knight Online, produced by the Korean game developer Wizgate Corporation, will go through a period of beta testing before its commercial release in the second quarter of 2003. Established in 1999, Wizgate is a leading Korean game developer that has rolled out successful titles such as Dark Saver, Myth of Soma, Droiyan Online, and Online Worms. SOHU and Wizgate signed the licensing agreement for Knight Online in November 2002.

"SOHU is the most comprehensive portal website in China with a young, urban registered user base of more than 50 million. These users are the most desirable target audience for online games, because they adopt new technology quickly and like to try new products. The cooperation between Wizgate and SOHU is a timely, complementary partnership in a high growth industry,” said Seung Chul Son, CEO of Wizgate.

The online games market in China, while still in the early stages of development, is growing rapidly. The Chinese market research firm CCID Consulting expects online games to attract 4.6 million new customers this year, increasing the total number of players in China by 47 per cent from 9.7 million at the end of 2002 to 14.3 million by year-end 2003.

"Compared to other online games currently available in China, Knight Online distinguishes itself as a brand new 3D online game with 360 degree viewing, which enables players to experience the virtual scenery from any angle. Knight Online features wars between two warrior states. Its rich 3D graphics, realistic sound and weather effects, and new concepts emphasizing knightly virtues and teamwork make a far more attractive game than the mostly 2D online games available at present, raising the standard for online entertainment in China," said He Jinmei, Vice-President of SOHU.

Safe Harbor Statement
This company's announcement contains forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, the uncertain growth rate of the online game market in China, failure to successfully launch and/or gain users' acceptance of the Knight Online game, SOHU’s historical and future losses, limited operating history, uncertain regulatory landscape in the People's Republic of China, fluctuations in quarterly operating results, and the company's reliance on online advertising sales, e-subscriptions and e-commerce for its revenues. Further information regarding these and other risks is included in SOHU's prospectus, 10K, 10Q and in its other filings with the Securities and Exchange Commission.

About SOHU.com
SOHU.com is the leading Internet portal in Mainland China with current daily page views exceeding 12 million. It provides navigation/search, news, sports, business and finance, real estate channel, entertainment, chat, email and e-commerce activities for a solid and wide base of visitors. Dr. Charles Zhang founded SOHU.com in 1997. Its investors include Intel, Dow Jones, IDG, the Morningside China Group, PCCW, Legend and Hikari. Its content partners include CNET, DOW Jones and dozens of local media organizations in China.

For further information:
Dahlia Wei
SOHU Investor Relations and Communications
Tel: +86 10 6272 6598
E-mail: ir@sohu-inc.com
http://www.sohu.com/about/English/