Exhibit 99.4

                                    ADDENDUM
                                       TO
                             STOCK OPTION AGREEMENT

         The following  provisions are hereby  incorporated into, and are hereby
made a part of, that certain Stock Option Agreement (the "Option  Agreement") by
and   between    Sharper   Image    Corporation    (the    "Corporation")    and
__________________________   ("Optionee")   evidencing  the  stock  option  (the
"Option") granted this day to Optionee under the terms of the Corporation's 2000
Stock  Incentive  Plan,  and such  provisions  are  effective  immediately.  All
capitalized terms in this Addendum,  to the extent not otherwise defined herein,
shall have the meanings assigned to them in the Option Agreement.

                        INVOLUNTARY TERMINATION FOLLOWING
                     CORPORATE TRANSACTION/CHANGE IN CONTROL

         1. To the  extent the  Option is to be  assumed  in  connection  with a
Corporate  Transaction,  the Option  shall not,  pursuant to the  provisions  of
Paragraph 6 of the Option  Agreement,  accelerate  upon the  occurrence  of that
Corporate  Transaction,   and  the  Option  shall  accordingly  continue,   over
Optionee's  period  of  Service  after  the  Corporate  Transaction,  to  become
exercisable for the Option Shares in one or more installments in accordance with
the provisions of the Option Agreement. However, immediately upon an Involuntary
Termination  of Optionee's  Service within  eighteen (18) months  following such
Corporate Transaction, the assumed Option, to the extent outstanding at the time
but not otherwise fully exercisable,  shall automatically accelerate so that the
Option shall become  immediately  exercisable  for all the Option  Shares at the
time subject to the Option and may be  exercised  for any or all of those Option
Shares as fully vested shares.

         2. The Option shall not  accelerate  upon the occurrence of a Change in
Control,  and the Option shall, over Optionee's period of Service following such
Change in Control,  continue to become  exercisable for the Option Shares in one
or more  installments in accordance with the provisions of the Option Agreement.
However,  immediately  upon an  Involuntary  Termination  of Optionee's  Service
within eighteen (18) months following the Change in Control,  the Option, to the
extent  outstanding  at the  time but not  otherwise  fully  exercisable,  shall
automatically accelerate so that the Option shall become immediately exercisable
for all the Option Shares at the time subject to the Option and may be exercised
for any or all of those Option Shares as fully vested shares.

         3. The Option as accelerated  pursuant to this Addendum shall remain so
exercisable  until the earlier of (i) the Expiration Date or (ii) the expiration
of the one (1)-year period measured from the date of the Optionee's  Involuntary
Termination.

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         4. For purposes of this Addendum the following  definitions shall be in
effect:

                  (i) An Involuntary  Termination  shall mean the termination of
         Optionee's Service by reason of:

                           (A) Optionee's  involuntary dismissal or discharge by
         the Corporation for reasons other than Misconduct, or

                           (B) Optionee's voluntary  resignation following (A) a
         change  in  Optionee's  position  with the  Corporation  (or  Parent or
         Subsidiary  employing  Optionee) which  materially  reduces  Optionee's
         duties  and  responsibilities  or the  level  of  management  to  which
         Optionee  reports,  (B) a reduction in Optionee's level of compensation
         (including  base  salary,  fringe  benefits  and target bonus under any
         corporate  performance based bonus or incentive  programs) by more than
         fifteen  percent  (15%)  or (C) a  relocation  of  Optionee's  place of
         employment  by more than fifty (50)  miles,  provided  and only if such
         change,  reduction or relocation is effected by the Corporation without
         Optionee's consent.

                  (ii) A Change in Control shall be deemed to occur in the event
         of a change in ownership or control of the Corporation effected through
         either of the following transactions:

                           (A) the acquisition,  directly or indirectly,  by any
         person or related  group of persons  (other than the  Corporation  or a
         person that directly or indirectly  controls,  is controlled  by, or is
         under common control with,  the  Corporation)  of beneficial  ownership
         (within the  meaning of Rule 13d-3 of the  Securities  Exchange  Act of
         1934,  as amended) of  securities  possessing  more than fifty  percent
         (50%)  of  the  total  combined  voting  power  of  the   Corporation's
         outstanding  securities  pursuant  to a tender or  exchange  offer made
         directly to the Corporation's stockholders, or

                           (B) a change in the  composition  of the Board over a
         period  of  thirty-six  (36)  consecutive  months  or less  such that a
         majority  of the  Board  members  ceases,  by  reason  of  one or  more
         contested   elections  for  Board   membership,   to  be  comprised  of
         individuals who either (i) have been Board members  continuously  since
         the beginning of such period or (ii) have been elected or nominated for
         election as Board members  during such period by at least a majority of
         the Board  members  described in clause (i) who were still in office at
         the time the Board approved such election or nomination.

         5. The  provisions  of  Paragraph 1 of this  Addendum  shall govern the
period for which the Option is to remain  exercisable  following the Involuntary
Termination  of  Optionee's  Service  within  eighteen  (18)  months  after  the
Corporate Transaction or Change in Control and shall supersede any provisions to
the contrary in Paragraph 5 of the Option Agreement.

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                  IN WITNESS WHEREOF,  Sharper Image Corporation has caused this
Addendum to be executed by its duly authorized  officer as of the Effective Date
specified below.

                                     SHARPER IMAGE CORPORATION

                                     By:
                                         ---------------------------------------

                                     Title:
                                            ------------------------------------

EFFECTIVE DATE:
                -------------------------------

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