Document:

NOTE AND WARRANT PURCHASE AGREEMENT

         This Note and Warrant  Purchase  Agreement,  dated as of  December  27,
2002,  (this  "Agreement")  is  entered  into by and  among The 3DO  Company,  a
Delaware corporation, (the "Company"), The 3DO Company, a California corporation
("Subsidiary")  and William M.  Hawkins,  III (the  "Purchaser").  The  parties,
intending to be legally bound, hereby agree as follows:

         1. Definitions.  As used in this Agreement,  the following  capitalized
terms have the following meanings:

          (a) "Notes"  means the First Note,  the Second  Note,  the amended and
     restated Previous Note, and the Subsequent Notes (as defined below).

          (b)  "Security  Agreement"  means the  Amended and  Restated  Security
     Agreement dated as of December 27, 2002 between Company and Investor.

          (c) All capitalized  terms not otherwise defined herein shall have the
     respective meanings given in the Notes or the Security Agreement.

         2. Sale of Notes.

          (a) Loan Commitment  Amount.  During the period  beginning on the date
     hereof and ending on June 30, 2003 (the "Borrowing Period"), the Subsidiary
     will sell to Purchaser  certain Notes for an aggregate  principal amount of
     up to $8,000,000 (the "Loan  Commitment  Amount"),  including the principal
     amount of the Previous  Note,  the First Note and the Second Note described
     below.

          (b) First Note. Upon execution of this Agreement, the Subsidiary shall
     issue a secured  subordinated  promissory  note  substantially  in the form
     attached  hereto as Exhibit A in the principal  amount of  $1,800,000  (the
     "First Note"). The parties  acknowledge that the Purchaser delivered to the
     Subsidiary the purchase price of the First Note on December 9, 2002.

          (c) Second Note.  Upon  execution of this  Agreement,  the  Subsidiary
     shall issue a secured  subordinated  promissory note  substantially  in the
     form  attached  hereto as Exhibit B in the  principal  amount of $1,400,000
     (the "Second Note"). The parties  acknowledge that the Purchaser  delivered
     to the  Subsidiary  the  purchase  price of the Second Note on December 18,
     2002.

          (d) Previous Note. The parties  acknowledge that the Subsidiary issued
     a Secured  Bridge Note (the  "Previous  Note") in the  principal  amount of
     $3,000,000 on October 1, 2002. The Company,  Subsidiary and Purchaser agree
     to amend and restate the  Previous  Note in the form  attached as Exhibit C
     and the Subsidiary shall issue the amended and restated  Previous Note upon
     execution of this  Agreement.  The Subsidiary and Purchaser shall amend and
     restate the Security  Agreement  dated October 1, 2002 by the Subsidiary in
     favor of the  Purchaser  in the form  attached  hereto  as  Exhibit  D. The
     Subsidiary acknowledges that the Subordination

<PAGE>

     Agreement between GE Capital  Commercial  Services,  Inc. and the Purchaser
     dated October 1, 2002 is no longer effective.

          (e) Initial  Closing.  The execution of this Agreement and the closing
     of the purchase and sale of the First Note and Second Note and the issuance
     of the amended and restated Previous Note to the Purchaser  hereunder shall
     be held at the  offices of the  Company on the date and time upon which the
     Company,  Subsidiary  and  Purchaser  sign  this  Agreement  (the  "Initial
     Closing").  At the Initial  Closing,  the  Subsidiary  shall deliver to the
     Purchaser the executed First Note, Second Note and the amended and restated
     Previous  Note,  and the  Purchaser  shall  deliver to the  Subsidiary  the
     Previous Note for cancellation.

          (f) Subsequent Closing(s). During the Borrowing Period, the Subsidiary
     may further issue and sell notes to Purchaser (the  "Subsequent  Closings")
     for additional  draw amounts (each  respectively,  a "Subsequent  Draw Down
     Amount")  not to  exceed  the  Loan  Commitment  Amount  in  the  aggregate
     (including  the  principal  amount  of the First  Note,  Second  Note,  the
     Previous Note and any Subsequent Notes (as defined below)) by giving notice
     thereof to  Purchaser  (each,  a "Notice").  Within five (5) business  days
     after a Notice is received by  Purchaser,  the  Purchaser  will lend to the
     Subsidiary,  and the Subsidiary will borrow from Purchaser, an amount equal
     to such Purchaser's Subsequent Draw Down Amount as set forth in the Notice.
     In  consideration  therefor,  the Company will issue to Purchaser a secured
     promissory  note for a principal  amount equal to such Subsequent Draw Down
     Amount (each, a "Subsequent Note") in the form attached as Exhibit E.

          (g) Delivery.  At each closing of the sale of a Note to the Purchaser,
     the  Subsidiary  will  deliver to the  Purchaser a  Subsequent  Note in the
     principal amount of the Subsequent Draw Down Amount dated as of the date of
     each closing, in exchange for cash, check or forgiveness of indebtedness in
     an amount equal to the principal amount of the Subsequent Note.

         3. Registration  Rights  Agreement.  Simultaneous with the execution of
this  Agreement,  the Company and the Purchaser shall enter into the Amended and
Restated Registration Rights Agreement in substantially the form attached hereto
as Exhibit F.

         4. Warrant.  In consideration of Purchaser's  commitment to purchase up
to the Loan Commitment  Amount of Notes from  Subsidiary,  Company shall issue a
warrant to Purchaser in the form attached hereto as Exhibit G (the "Warrant").

         5.  Representations  and Warranties of Company and Subsidiary.  Company
and Subsidiary represent and warrant to Purchaser as of the date hereof and each
Subsequent Closing that:

          (a)  Due  Incorporation,  Qualification,  etc.  Each  of  Company  and
     Subsidiary (i) is a corporation  duly  organized,  validly  existing and in
     good standing  under the laws of its state of  incorporation;  (ii) has the
     power and authority to own,  lease and operate its  properties and carry on
     its business as now conducted; and (iii) is duly qualified,  licensed to do
     business and in good standing as a foreign corporation in each jurisdiction
     where the  failure to be so  qualified  or  licensed  could  reasonably  be
     expected to have a Material Adverse Effect.

                                      -2-
<PAGE>

         (b) Authority.

              (1)  Corporate   Authorization.   The   execution,   delivery  and
performance  by  Company  and  Subsidiary  of each  Transaction  Document  to be
executed  by Company or  Subsidiary  and the  consummation  of the  transactions
contemplated  thereby  (i) are within the power of Company and  Subsidiary;  and
(ii) have been duly  authorized by all necessary  actions on the part of Company
and  Subsidiary,  except that the approval by the Company's  stockholder  of the
exercise of the Warrant, if applicable, has not been obtained.

              (2) Valid  Issuance.  The Warrant,  and the shares of Common Stock
issued upon  exercise  of the Warrant  (collectively,  the  "Securities"),  when
issued in compliance  with the provisions of this Agreement and the Warrant will
be  validly  issued  and will be free of any  liens or  encumbrances;  provided,
however,  that the Securities may be subject to  restrictions  on transfer under
state and/or federal securities laws as set forth herein, and as may be required
by future changes in such laws.

          (c)  Enforceability.  Each  Transaction  Document  executed,  or to be
     executed,  by Company or Subsidiary has been, or will be, duly executed and
     delivered by Company and Subsidiary and constitutes,  or will constitute, a
     legal, valid and binding obligation of Company and Subsidiary,  enforceable
     against  Company and  Subsidiary  in accordance  with its terms,  except as
     limited by (i) bankruptcy,  insolvency or other laws of general application
     relating to or affecting the enforcement of creditors' rights generally and
     general  principles of equity and (ii) limitations on the enforceability of
     the  indemnification  provisions of the  Registration  Rights  Agreement as
     limited by applicable securities laws.

          (d)  Non-Contravention.  The  execution  and  delivery  by Company and
     Subsidiary of the Transaction  Documents executed by Company and Subsidiary
     and the  performance  and  consummation  of the  transactions  contemplated
     thereby do not and will not (i) violate the  Articles of  Incorporation  or
     Certificate  of  Incorporation,  as  applicable,  or Bylaws of  Company  or
     Subsidiary or any material judgment,  order, writ, decree, statute, rule or
     regulation applicable to Company or Subsidiary;  (ii) violate any provision
     of, or result in the breach or the  acceleration  of, or entitle  any other
     Person to accelerate  (whether  after the giving of notice or lapse of time
     or both),  any  material  mortgage,  indenture,  agreement,  instrument  or
     contract to which Company or Subsidiary is a party or by which it is bound;
     or  (iii)  result  in the  creation  or  imposition  of any  Lien  upon any
     property,  asset or revenue of Company or  Subsidiary  (other than any Lien
     arising under the  Transaction  Documents) or the  suspension,  revocation,
     impairment,  forfeiture,  or  nonrenewal of any material  permit,  license,
     authorization or approval applicable to Company or Subsidiary, its business
     or operations, or any of its assets or properties.

          (e) Approvals.  No consent,  approval,  order or authorization  of, or
     registration,  declaration  or filing with, any  governmental  authority or
     other  Person  (including  the  shareholders  of any Person) is required in
     connection  with the  execution and delivery of the  Transaction  Documents
     executed by Company and Subsidiary and the performance and  consummation of
     the transactions  contemplated  thereby,  except such consents,  approvals,
     orders, authorizations,  registrations, declarations or filings that are so
     required  and which have been

                                      -3-
<PAGE>

     obtained and are in full force and effect,  except that the approval by the
     Company's  stockholder of the exercise of the Warrant,  if applicable,  has
     not been obtained.

          (f) No  Violation or Default.  Neither  Company nor  Subsidiary  is in
     violation   of  or  in  default   with  respect  to  (i)  its  Articles  of
     Incorporation or Certificate of  Incorporation,  as applicable or Bylaws or
     any material judgment,  order, writ,  decree,  statute,  rule or regulation
     applicable to such Company or  Subsidiary;  or (ii) any material  mortgage,
     indenture, agreement, instrument or contract to which Company or Subsidiary
     is a party or by which it is bound  (nor is  there  any  waiver  in  effect
     which,  if not in effect,  would  result in such a violation  or  default),
     where, in each case, such violation or default,  individually,  or together
     with all such violations or defaults,  could reasonably be expected to have
     a Material Adverse Effect.

          (g)  Litigation.  Except as set forth in Item 4(g) of  Schedule  I, no
     actions   (including   derivative   actions),    suits,    proceedings   or
     investigations  are pending  or, to the  knowledge  of Company,  threatened
     against  Company or  Subsidiary  at law or in equity in any court or before
     any other  governmental  authority which (i) if adversely  determined could
     reasonably  be  expected  to (alone or in the  aggregate)  have a  Material
     Adverse Effect; or (ii) seeks to enjoin, either directly or indirectly, the
     execution,  delivery  or  performance  by  Company  or  Subsidiary  of  the
     Transaction Documents or any of the transactions contemplated thereby.

          (h)  Accuracy  of  Information  Furnished.  None  of  the  Transaction
     Documents and none of the other  certificates,  statements  or  information
     furnished  to  Purchaser  by or on  behalf  of  Company  or  Subsidiary  in
     connection with the Transaction Documents or the transactions  contemplated
     thereby contains or will contain any untrue statement of a material fact or
     omits  or will  omit  to  state  a  material  fact  necessary  to make  the
     statements  therein,  in light of the  circumstances  under which they were
     made, not misleading.

          (i)  Government  Consent,   Etc.  No  consent,   approval,   order  or
     authorization of, or designation, registration, declaration or filing with,
     any federal,  state, local or other  governmental  authority on the part of
     Company or Subsidiary is required in  connection  with the valid  execution
     and delivery of this Agreement,  the Notes, the Warrant or the offer,  sale
     or  issuance  of the  Securities,  other  than,  if  required,  filings  or
     qualifications  under the California  Corporate  Securities Law of 1968, as
     amended (the  "California  Law"), or other  applicable blue sky laws, which
     filings or qualifications, if required, will be timely filed or obtained by
     Company.

         6.  Representations and Warranties by Purchaser.  Purchaser  represents
and warrants to Company and Subsidiary as of the Closing Date as follows:

          (a)  Investment  Intent:   Authority.  This  Agreement  is  made  with
     Purchaser  in  reliance  upon  Purchaser's  representation  to Company  and
     Subsidiary,  evidenced by  Purchaser's  execution of this  Agreement,  that
     Purchaser is acquiring the Securities for  investment for  Purchaser's  own
     account, not as nominee or agent, for investment and not with a view to, or
     for resale in connection  with, any distribution or public offering thereof
     within  the  meaning  of the  Securities  Act of  1933,  as  amended,  (the
     "Securities  Act") or the  California  Law.  Purchaser  has the full right,
     power,  authority and capacity to enter into and perform this

                                      -4-
<PAGE>

     Agreement and the Agreement will constitute a valid and binding  obligation
     upon  Purchaser,   except  as  the  same  may  be  limited  by  bankruptcy,
     insolvency, moratorium, and other laws of general application affecting the
     enforcement of creditors' rights.

          (b) Securities Not Registered.  Purchaser understands and acknowledges
     that the offering of the Securities  pursuant to this Agreement will not be
     registered  under the Securities Act or qualified  under the California Law
     on the grounds  that the offering and sale of  securities  contemplated  by
     this  Agreement are exempt from  registration  under the Securities Act and
     exempt from  qualification  pursuant to section  25102(f) of the California
     Law, and that Company's  reliance upon such  exemptions is predicated  upon
     Purchaser's   representations  set  forth  in  this  Agreement.   Purchaser
     acknowledges   and  understands  that  resale  of  the  Securities  may  be
     restricted  indefinitely unless the Securities are subsequently  registered
     under the  Securities  Act and  qualified  under the  California  Law or an
     exemption  from such  registration  and such  qualification  is  available.
     Purchaser  acknowledges  that Company is under no  obligation to effect any
     registration  with respect to the  Securities or to file for or comply with
     any exemption from registration, except as provided in Section 3.

          (c) Transfer  Restrictions.  Purchaser covenants that in no event will
     it sell,  transfer or otherwise dispose of any of the Securities other than
     in conjunction with an effective  registration statement for the Securities
     under the  Securities  Act or pursuant  to an  exemption  therefrom,  or in
     compliance  with  Rule 144  promulgated  under the  Securities  Act or to a
     person  related to or an entity  affiliated  with said  Purchaser and other
     than in compliance  with the applicable  securities  regulation laws of any
     state.

          (d) Knowledge  and  Experience.  Purchaser (i) has such  knowledge and
     experience in financial and business matters as to be capable of evaluating
     the  merits  and  risks  of  Purchaser's   prospective  investment  in  the
     Securities;  (ii) has the ability to bear the economic risks of Purchaser's
     prospective  investment;  (iii) has had all questions which have been asked
     by  Purchaser  satisfactorily  answered by  Company;  and (iv) has not been
     offered the  Securities by any form of  advertisement,  article,  notice or
     other communication published in any newspaper,  magazine, or similar media
     or broadcast  over  television  or radio,  or any seminar or meeting  whose
     attendees  have been invited by any such media.  Purchaser  represents  and
     warrants that he is an "accredited investor" within the meaning of Rule 501
     of Regulation D of the Securities Act.

         7.  Legends.   Company  will  place  the  following   legends  on  each
certificate representing Securities:

          THESE  SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF
          1933, AS AMENDED (THE "ACT"), OR ANY APPLICABLE STATE SECURITIES LAWS,
          AND MAY NOT BE SOLD,  OFFERED FOR SALE OR TRANSFERRED UNLESS SUCH SALE
          OR TRANSFER IS IN ACCORDANCE  WITH THE  REGISTRATION  REQUIREMENTS  OF
          SUCH ACT AND  APPLICABLE  LAWS OR AN EXEMPTION  FROM THE  REGISTRATION
          REQUIREMENTS OF SUCH ACT AND APPLICABLE LAWS IS AVAILABLE WITH RESPECT
          THERETO.

                                      -5-
<PAGE>

         8. Miscellaneous.

          (a) Waivers and  Amendments.  Any  provision of this  Agreement may be
     amended, waived or modified upon the written consent of Company, Subsidiary
     and Purchaser.

          (b) Governing Law. This Agreement,  the Notes, the Warrant,  the other
     Transaction  Documents,  and all actions  arising  out of or in  connection
     herewith or therewith shall be governed by and construed in accordance with
     the laws of the State of California, without regard to the conflicts of law
     provisions of the State of California or of any other state.  Any action or
     proceeding  relating in any way to this Agreement or the other  Transaction
     Documents  may be  brought  and  enforced  in the  courts  of the  State of
     California or of the United States for the Northern District of California.

          (c)  Entire  Agreement.  This  Agreement  together  with the  exhibits
     attached hereto constitute the full and entire  understanding and agreement
     between the parties with regard to the subjects hereof and thereof.

          (d)  Survival.   The   representations,   warranties,   covenants  and
     agreements  made herein shall  survive the  execution  and delivery of this
     Agreement.

          (e)  Expenses.  Company  shall pay on demand all  reasonable  fees and
     expenses  incurred  by  Purchaser,  including  reasonable  legal  fees  and
     expenses in connection with the preparation, execution and delivery of this
     Agreement and the other Transaction Documents.

          (f) Notices, etc. Any notice,  request or other communication required
     or permitted hereunder shall be in writing and shall be deemed to have been
     duly given (i) upon receipt if  personally  delivered,  (ii) three (3) days
     after being mailed by registered or certified  mail,  postage  prepaid,  or
     (iii)  one day after  being  sent by  recognized  overnight  courier  or by
     facsimile,  if to Purchaser,  at c/o Company at 200 Cardinal  Way,  Redwood
     City,  California  94063,  or at such other  address or number as Purchaser
     shall have furnished to Company in writing, or if to Company or Subsidiary,
     at 200  Cardinal  Way,  Redwood  City,  California  94063 or at such  other
     address or number as Company shall have furnished to Purchaser in writing.

          (g)  Validity.  If any provision of this  Agreement,  the Notes or the
     Warrant  shall  be  judicially   determined  to  be  invalid,   illegal  or
     unenforceable,  the validity,  legality and enforceability of the remaining
     provisions shall not in any way be affected or impaired thereby.

          (h)  Counterparts.  This  Agreement  may be  executed in any number of
     counterparts, each of which shall be an original, but all of which together
     shall be deemed to constitute one instrument.

          (i) Assignment. The terms and conditions of this Agreement shall inure
     to the benefit of and be binding upon the respective successors and assigns
     of the parties. Nothing in this Agreement,  express or implied, is intended
     to confer upon any party other than the parties hereto or their  respective
     successors and assigns any rights,  remedies,  obligations,  or liabilities
     under or by reason of this Agreement,  except as expressly provided in this
     Agreement.

                                      -6-
<PAGE>

         9.  Additional  Assurances.  Investor agrees to negotiate in good faith
with Company and Subsidiary with respect to additional  financial  assistance to
Company and  Subsidiary  on terms to be  discussed  among the  parties  that the
parties  currently  contemplate  may provide up to an  additional  $2,000,000 of
financial assistance to Company and Subsidiary.

10. Future Financing.

          (a)  Participation  in  Qualified  Financing.  In  the  event  Company
     consummates or proposes to  consummate,  prior to March 31, 2003, an equity
     or debt financing (a "Qualified Financing"), then the Subsidiary shall have
     the option of causing Purchaser to purchase (solely through cancellation of
     principal  and  accrued  interest  under the Notes) up to an  aggregate  of
     $3,000,000 of securities issued in the Qualified  Financing (the "Financing
     Securities") at the same price and on the same terms as the other investors
     in the Qualified  Financing,  or, if there are no other investors,  at such
     price and on such terms as are acceptable to Purchaser and  Subsidiary.  In
     conjunction  with such  purchase,  the  Purchaser  shall become a party and
     shall  execute all related  Qualified  Financing  documentation.  Purchaser
     agrees  that  any  subsequent  holder  of the  Notes  shall be bound by the
     provisions of this Section 10 .

          (b) Procedures.  If Notes are to be cancelled pursuant to this Section
     10,  written  notice  shall be  delivered  to Purchaser at the address last
     shown on the records of  Subsidiary  for Purchaser or given by Purchaser to
     Subsidiary  for the purpose of notice or, if no such address  appears or is
     given, at the place where the principal  executive  office of Subsidiary is
     located,  notifying Purchaser of the Qualified Financing,  the terms of the
     Qualified  Financing,  the principal amount and interest of the Notes to be
     cancelled,  the date on which such  cancellation  is  expected to occur and
     calling upon Purchaser to surrender to Subsidiary, in the manner and at the
     place designated, the Notes. Upon such cancellation of the Notes, Purchaser
     shall  surrender the Notes,  duly  endorsed,  at the office of  Subsidiary.
     Subsidiary  shall,  or  shall  cause  Company  to,  as soon as  practicable
     thereafter,  issue and deliver at such office to Purchaser a certificate or
     certificates  for the  Financing  Securities  to which  Purchaser  shall be
     entitled  (bearing such legends as are required by the Qualified  Financing
     documentation  and  applicable  state and  federal  securities  laws in the
     opinion of counsel to Subsidiary),  together with replacement Notes (if any
     principal  amount and  accrued  interest  is not  cancelled)  and any other
     securities  and property to which  Purchaser is entitled under the terms of
     the Notes,  including a check  payable to  Purchaser  for any cash  amounts
     payable as described in Section  10(c),  if  applicable.  The  cancellation
     shall be  deemed  to have  been  made  immediately  prior  to the  close of
     business  on the date of the  surrender  of the  Notes,  and the  Person or
     Persons  entitled to receive the Financing  Securities upon such conversion
     shall be treated for all  purposes as the record  investor or  investors of
     such Financing Securities as of such date.

          (c) Fractional Shares; Interest; Effect. No fractional shares shall be
     issued upon  cancellation  of the Notes  pursuant to Section 10. In lieu of
     Company issuing any fractional shares of Financing  Securities to Purchaser
     upon cancellation of the Notes,  Subsidiary shall pay to Purchaser the cash
     value of the  fraction  of a share  not  issued  pursuant  to the  previous
     sentence, if a replacement Note is not issued pursuant to Section 10(b). In
     addition,  Subsidiary  shall pay to Purchaser  any interest  accrued on the
     amount cancelled and on the amount to be paid to Subsidiary pursuant to the
     previous sentence, if accrued interest is not cancelled.

                                      -7-
<PAGE>

     Upon  cancellation  of the  Notes in full and the  payment  of the  amounts
     specified in this Section 10(c),  Subsidiary shall be forever released from
     all its obligations and liabilities under the Notes.

          (d)  Limitation  on Qualified  Financing.  Company shall not issue any
     Financing  Securities  pursuant to this  Section 10 if the issuance of such
     Financing  Securities  would  cause the  Company to exceed  that  number of
     shares of Common Stock or  securities  convertible  into Common Stock which
     Company  may issue  upon  cancellation  of the Notes (the  "Exchange  Cap")
     without breaching Company's obligations, if applicable,  under the rules or
     regulations  of the Nasdaq  National  Market,  except that such  limitation
     shall not apply in the event that  Company (a) obtains the  approval of its
     stockholders  as required by the Nasdaq  National  Market (or any successor
     rule or regulation) for issuances of Common Stock in excess of such amount,
     (b) obtains a written  opinion from outside  counsel to the Subsidiary that
     such  approval  is  not   required,   which  opinion  shall  be  reasonably
     satisfactory to the holder of the Note, or (c) adequate  provisions similar
     to those contained in this section are contained in the Qualified Financing
     documentation.

                                      -8-
<PAGE>

         IN WITNESS WHEREOF, the parties have caused this Agreement to be duly
executed and delivered by their proper and duly authorized officers as of the
date and year first written above.

                                 COMPANY:

                                 THE 3DO COMPANY
                                 a Delaware corporation

                                 By:    /s/ James A. Cook
                                      ------------------------------------------

                                 Name:   James A. Cook
                                       -----------------------------------------

                                 Title:    Secretary
                                        ----------------------------------------

                                 SUBSIDIARY:

                                 THE 3DO COMPANY
                                 a California corporation

                                 By:    /s/ James A. Cook
                                      ------------------------------------------

                                 Name:   James A. Cook
                                       -----------------------------------------

                                 Title:    Executive Vice President
                                        ----------------------------------------

The 3DO Company
Signature Page to the
Note and Warrant Purchase Agreement

                                      -9-
<PAGE>

                                    PURCHASER:

                                    William M. Hawkins, III

                                    /s/ William M. Hawkins, III
                                    -------------------------------------------

Trip Hawkins
Signature Page to the
Note and Warrant Purchase Agreement

                                      -10-
<PAGE>

                                    EXHIBIT A

                                   FIRST NOTE

<PAGE>

                                    EXHIBIT B

                                   SECOND NOTE

<PAGE>
                                    EXHIBIT C

                              AMENDED AND RESTATED
                                  PREVIOUS NOTE

<PAGE>

                                    EXHIBIT D

                              AMENDED AND RESTATED
                               SECURITY AGREEMENT

<PAGE>

                                    EXHIBIT E

                             FORM OF SUBSEQUENT NOTE

<PAGE>

                                    EXHIBIT F

                              AMENDED AND RESTATED
                          REGISTRATION RIGHTS AGREEMENT

<PAGE>

                                    EXHIBIT G

                                     WARRANTTHE 3DO COMPANY

                               SECURED FIRST NOTE

$1,800,000                                                      December 9, 2002
                                                        Redwood City, California

         FOR  VALUE   RECEIVED  The  3DO  Company,   a  California   corporation
("Company")  promises to pay to William M.  Hawkins,  III  ("Investor"),  or his
registered  assigns,  the principal  sum of One Million  Eight Hundred  Thousand
Dollars  ($1,800,000),  or such  lesser  amount as shall  equal the  outstanding
principal  amount  hereof,  together with interest from the date of this Note on
the unpaid  principal  balance at a rate equal to nine and  one-half  percent (9
1/2%) per annum,  computed on the basis of the actual number of days elapsed and
a year of 365 days.  All unpaid  principal,  together  with any then  unpaid and
accrued interest and other amounts payable  hereunder,  shall be due and payable
(i) upon five (5) days prior  written  notice by Investor  to  Company,  or (ii)
when,  upon or after the  occurrence of an Event of Default (as defined  below),
such amounts are declared due and payable by Investor or made  automatically due
and payable in accordance with the terms hereof. In addition, this Note shall be
subject to  prepayment  as set forth  below.  Company will make all payments due
under this Note in immediately  available  United States dollars,  by 11:00 A.M.
(California  time) on the date  such  payment  is due in the  manner  and at the
address for such purpose specified by Investor from time to time in writing.

         The  following  is a  statement  of the  rights  of  Investor  and  the
conditions  to  which  this  Note is  subject,  and to  which  Investor,  by the
acceptance of this Note, and Company agree:

         1. Definitions.  As used in this Note, the following  capitalized terms
have the  following  meanings:

          (a)  "Business  Day"  means any day other than a  Saturday,  Sunday or
     public holiday under the laws of California.

          (b) "Change of Control" means a merger,  stock transfer or issuance of
     voting securities,  in one or more related  transactions,  which results in
     Company's   or   Parent's,   as   applicable,   stockholders   before   the
     transaction(s)   owning  voting   securities   after  the   transactions(s)
     representing  the right to elect less than half of the directors of Company
     or Parent, as applicable,  (in a reverse merger, stock transfer or issuance
     of voting  securities) or successor entity (in a forward merger or the sale
     of all or substantially all of Company's or Parent's assets, in one or more
     transactions).

          (c) "Event of Default" is defined in Section 6.

          (d) "Lien" means, with respect to any property, any security interest,
     mortgage,  pledge,  lien, claim,  charge or other encumbrance in, of, or on
     such property or the income  therefrom,  including the interest of a vendor
     or lessor under a conditional sale agreement, capital lease or other

<PAGE>

     title  retention  agreement,  or  any  agreement  to  provide  any  of  the
     foregoing,  and the filing of any financing statement or similar instrument
     under the Uniform Commercial Code or comparable law of any jurisdiction.

          (e) "Note and Warrant  Purchase  Agreement" means the Note and Warrant
     Purchase  Agreement by and among Parent,  Company and Investor  dated as of
     December 27, 2002.

          (f) "Material  Adverse Effect" means a material  adverse effect on (a)
     the  business,  prospects,  assets,  operations  or financial  condition of
     Company or  Parent;  (b) the  ability  of  Company  to pay or  perform  the
     Obligations  in  accordance  with the terms of this Note; or (c) the rights
     and remedies of Investor under this Note, the other  Transaction  Documents
     or any related document, instrument or agreement.

          (g) "Parent" means The 3DO Company, a Delaware corporation.

          (h)  "Person"  means  an  individual,  a  partnership,  a  corporation
     (including a business  trust), a joint stock company,  a limited  liability
     company, an unincorporated  association, a joint venture or other entity or
     governmental authority.

          (i) "Preferred  Stock" means Parent's  Series A Convertible  Preferred
     Stock,  par value  $0.01,  as  described  in the  Parent's  Certificate  of
     Designations  filed with the  Secretary of State of Delaware as of December
     10, 2001 ("Parent's Certificate of Designations").

          (j)  "Security  Agreement"  means the  Amended and  Restated  Security
     Agreement dated as of December 27, 2002 between Company and Investor.

          (k)  "Transaction  Documents"  means this Note,  the Note and  Warrant
     Purchase  Agreement,  other notes  issued  pursuant to the Note and Warrant
     Purchase  Agreement,  the Warrant,  the Registration Rights Agreement dated
     December 27, 2002 between Parent and Investor, the Security Agreement,  and
     each UCC  financing  statement  or notice  of  security  interest  filed in
     connection with the Security Agreement.

          (l)  "Warrant"  means the warrant dated as of December 27, 2002 issued
     by Parent to Investor.

         All  capitalized  terms not  otherwise  defined  herein  shall have the
respective  meanings  given in the  Security  Agreement  or the Note and Warrant
Purchase Agreement.

         2.  Interest.  Accrued  interest on this Note shall be payable ten days
after the last day of each  calendar  quarter  until the  outstanding  principal
amount  hereof  shall be paid in full,  with the first such payment due ten days
after December 31, 2002. Interest shall be payable in cash.

         3.  Prepayment.

          (a) Optional  Prepayment.  Upon five (5) days prior written  notice to
     Investor,  Company may prepay this Note in whole or in part;  provided that
     any such  prepayment  will be applied  first to the payment of expenses due
     under this Note, second to interest accrued on this Note

                                       2
<PAGE>

     and  third,  if the  amount of  prepayment  exceeds  the amount of all such
     expenses  and accrued  interest,  to the payment of principal of this Note.

          (b)  Mandatory  Prepayment  on Change  of  Control.  Without  limiting
     Investor's right to demand prepayment at any time, Company must prepay this
     Note in whole,  including all expenses and accrued  interest,  concurrently
     with the closing of any transaction that constitutes a Change of Control.

         4. [Intentionally Omitted]

         5. Certain Covenants.

          (a) Use of Proceeds.  Company  will use the proceeds  from the sale of
     the Note for general corporate purposes and working capital.

          (b)  Financial  Information.  Company  agrees to send the following to
     Investor: (i) unless the following are filed with the SEC through EDGAR and
     are  available to the public  through  EDGAR,  within two (2) Business Days
     after the filing thereof with the SEC, a copy of Parent's Annual Reports on
     Form 10-K, its Quarterly  Reports on Form 10-Q, any Current Reports on Form
     8-K and any registration  statements (other than on Form S-8) or amendments
     filed pursuant to the Securities Act of 1933, as amended;  (ii) on the same
     day as the release  thereof,  facsimile copies of all press releases issued
     by Company or Parent; and (iii) copies of any notices and other information
     made  available  or  given  to  the   stockholders  of  Parent   generally,
     contemporaneously  with the  making  available  or  giving  thereof  to the
     stockholders.

          (c) Notice of Certain  Events.  Company  shall  provide  Investor with
     prompt written notice of the occurrence of any of the following events:

               (i)  Breaches  of  Covenants.  Company  or Parent  shall  fail to
          observe or perform any  covenant,  obligation,  condition or agreement
          contained in this Note or the other Transaction Documents; or

               (ii)   Representations   and  Warranties.   Any   representation,
          warranty,  certificate,  or other  statement  (financial or otherwise)
          made or  furnished by or on behalf of Company or Parent to Investor in
          writing in connection  with this Note or any of the other  Transaction
          Documents, or as an inducement to Investor to enter into this Note and
          the other Transaction Documents, shall be false, incorrect, incomplete
          or misleading in any material respect when made or furnished; or

               (iii) Other Payment Obligations.  Either (A) a "Triggering Event"
          (as defined in the Parent's  Certificate of  Designations)  shall have
          occurred  with respect to the Preferred  Stock;  (B) Parent shall have
          failed to pay a dividend in a proper and timely  manner to the holders
          of the  Preferred  Stock;  or (C)  Company  shall (1) fail to make any
          payment  when due under the  terms of any other  indebtedness,  or (2)
          default in the observance or performance of any other agreement,  term
          or condition  contained in any other  indebtedness,  and the effect of
          such failure or default is to cause, or permit the creditor thereof to
          cause,  the  obligations of Company with respect thereto to become due
          prior to their stated date of maturity thereto; or

                                       3
<PAGE>

               (iv)  Judgments.  A final  judgment  or order for the  payment of
          money in excess  of Two  Hundred  Fifty  Thousand  Dollars  ($250,000)
          (exclusive of amounts covered by insurance)  shall be rendered against
          Company or  Parent,  or any  judgment,  writ,  assessment,  warrant of
          attachment,  or execution or similar process shall be issued or levied
          against a substantial part of the property of Company or Parent; or

               (v)  Transaction  Documents.  Any  Transaction  Document  or  any
          material term thereof shall cease to be, or be asserted by Company not
          to be, a legal, valid and binding obligation of Company enforceable in
          accordance  with  its  terms  or if  the  Liens  of  Investor  on  the
          Collateral  pursuant to the  Security  Agreement  shall cease to be or
          shall not be valid,  perfected,  first priority  (subject to Permitted
          Liens) Liens or Company shall assert that such Liens are not valid and
          perfected,  first priority  (subject to Permitted  Liens) Liens on the
          Collateral; or

               (vi) Nasdaq  Listing.  Parent's  common stock is  suspended  from
          trading or no longer listed on the Nasdaq National Market.

         6. Events of Default.  The  occurrence  of any of the  following  shall
constitute  an  "Event of  Default"  under  this Note and the other  Transaction
Documents:

          (a)  Failure  to Pay.  Company  shall  fail to pay  (i)  when  due any
     principal or interest  payment on the due date under any Note;  or (ii) any
     other  payment  required  under  the  terms  of  this  Note  or  any  other
     Transaction  Document on the date due and such payment  shall not have been
     made within five (5) days of Company's receipt of Investor's written notice
     to Company of such failure to pay; or

          (b) Voluntary Bankruptcy or Insolvency Proceedings.  Company or Parent
     shall (i) apply for or consent to the  appointment of a receiver,  trustee,
     liquidator  or custodian of itself or of all or a  substantial  part of its
     property,  (ii) be unable,  or admit in writing its  inability,  to pay its
     debts  generally as they mature,  (iii) make a general  assignment  for the
     benefit of its or any of its  creditors,  (iv) be dissolved or  liquidated,
     (v) become insolvent (as such term may be defined or interpreted  under any
     applicable  statute),  (vi) commence a voluntary  case or other  proceeding
     seeking liquidation,  reorganization or other relief with respect to itself
     or its debts under any  bankruptcy,  insolvency or other similar law now or
     hereafter in effect or consent to any such relief or to the  appointment of
     or taking possession of its property by any official in an involuntary case
     or other proceeding  commenced against it, or (vii) take any action for the
     purpose of effecting any of the foregoing; or

          (c) Involuntary Bankruptcy or Insolvency Proceedings.  Proceedings for
     the appointment of a receiver,  trustee, liquidator or custodian of Company
     or Parent or of all or a substantial  part of the property  thereof,  or an
     involuntary case or other proceedings seeking  liquidation,  reorganization
     or other  relief  with  respect to  Company or Parent or the debts  thereof
     under any  bankruptcy,  insolvency or other similar law now or hereafter in
     effect  shall  be  commenced  and an  order  for  relief  entered  or  such
     proceeding shall not be dismissed or discharged  within thirty (30) days of
     commencement.

                                       4
<PAGE>

         7. Rights of Investor upon Default.  Without limiting  Investor's right
to demand  payment at any time,  upon the occurrence or existence of an Event of
Default  described in Section 6(a),  Investor may by written  notice to Company,
declare  all  outstanding   Obligations  payable  by  Company  hereunder  to  be
immediately due and payable without  presentment,  demand,  protest or any other
notice of any kind, all of which are hereby expressly waived, anything contained
herein or in the other  Transaction  Documents to the contrary  notwithstanding.
Upon the  occurrence  or existence of any Event of Default  described in Section
6(b) or 6(c),  immediately  and  without  notice,  all  outstanding  Obligations
payable by Company  hereunder  shall  automatically  become  immediately due and
payable,  without presentment,  demand, protest or any other notice of any kind,
all of which are hereby expressly  waived,  anything  contained herein or in the
other Transaction Documents to the contrary notwithstanding.  In addition to the
foregoing  remedies,  upon the  occurrence or existence of any Event of Default,
Investor  may  exercise  any other  right  power or remedy  granted to it by the
Transaction  Documents or otherwise  permitted to him by law,  either by suit in
equity or by action at law, or both.

         8. [Initially Omitted]

         9.  Successors and Assigns.  The rights and  obligations of Company and
Investor  under this Note  shall be binding  upon and  benefit  the  successors,
assigns,  heirs,  administrators  and transferees of the parties;  provided that
Company may not assign or transfer  any of its rights or  obligations  under any
Transaction Document without the prior written consent of Investor. Investor may
at any time sell, assign,  grant participations in, or otherwise transfer to any
other Person all or part of the  obligations  of Company under this Note and the
other Transaction Documents.  All references in this Note to any Person shall be
deemed to include all permitted successors and assigns of such Person. Transfers
of this Note shall be registered  upon  registration  books  maintained for such
purpose by or on behalf of Company.

         10. Waiver and Amendment. This Note may not be amended or modified, nor
may any of its terms be waived,  except by written instruments signed by Company
and  Investor.  Each  waiver or  consent  under any  provision  hereof  shall be
effective only in the specific instance and purpose for which given.

         11.  Notices.   Except  as  otherwise  provided  herein,  all  notices,
requests,  demands,  consents,  instructions or other  communications to or upon
Company or  Investor  under this Note shall be in writing  and faxed,  mailed or
delivered to each party to the  facsimile  number or its address set forth below
(or to such other  facsimile  number or address as the  recipient  of any notice
shall have notified the other in writing).  All such notices and  communications
shall be effective (a) when sent by Federal Express or other  overnight  service
of  recognized  standing,  on the business day  following  the deposit with such
service;  (b) when mailed,  by registered or certified mail, first class postage
prepaid and addressed as aforesaid  through the United  States  Postal  Service,
upon receipt;  (c) when delivered by hand,  upon  delivery;  and (d) when faxed,
upon confirmation of receipt.

         Investor:
                                    William M. Hawkins, III
                                    c/o THE 3DO COMPANY
                                    200 Cardinal Way
                                    Redwood City, California 94063
                                    Telephone: (650) 385-3000
                                    Facsimile: (650) 385-3183

                                       5
<PAGE>

         Company:
                                    THE 3DO COMPANY
                                    200 Cardinal Way
                                    Redwood City, California 94063
                                    Attn: James Alan Cook
                                    Telephone:  (650) 385-3000
                                    Facsimile: (650) 385-3183

         12. Default Rate; Usury. During any period in which an Event of Default
has  occurred  and is  continuing,  Company  shall pay  interest  on the  unpaid
principal  balance  hereof  at a rate per  annum  equal  to the  rate  otherwise
applicable hereunder plus two percent (2%). If any interest is paid on this Note
is deemed to be in excess of the then legal maximum  rate,  then that portion of
the interest payment  representing an amount in excess of the then legal maximum
rate shall be deemed a payment of principal and applied against the principal of
this Note.

         13. Governing Law; Jurisdiction.  This Note and all actions arising out
of or in  connection  with this  Note  shall be  governed  by and  construed  in
accordance  with the laws of the  State of  California,  without  regard  to the
conflict of laws  provisions of the State of California,  or of any other state.
Any  action  or  proceeding  relating  in any  way to  this  Note  or the  other
Transaction  Documents may be brought and enforced in the courts of the State of
California or of the United States for the Northern District of California.  Any
such process or summons in connection  with any such action or proceeding may be
served by  mailing a copy  thereof  by  certified  or  registered  mail,  or any
substantially similar form of mail, addressed to Company or Investor as provided
for notices hereunder.

         14. Indemnity.

          (a) Indemnity.  In consideration  of Investor's  purchase of this Note
     and in addition to all of Company's other obligations under the Transaction
     Documents,  Company  shall  defend,  protect,  indemnify  and hold harmless
     Investor and all of its stockholders,  officers,  directors,  employees and
     direct  or  indirect  investors  and  any of  Investors'  agents  or  other
     representatives   (including   those   retained  in  connection   with  the
     transactions contemplated by the Transaction Documents) (collectively,  the
     "Indemnitees")  from and  against  any and all  actions,  causes of action,
     suits, claims, losses, costs, penalties, fees, liabilities and damages, and
     expenses  in  connection  therewith   (irrespective  of  whether  any  such
     Indemnitee is a party to the action for which indemnification  hereunder is
     sought),  and  including  reasonable   attorneys'  fees  and  disbursements
     (collectively,  the "Indemnified Liabilities"),  incurred by any Indemnitee
     as a result of, or arising  out of, or  relating  to any matter or thing or
     action or failure to act by Indemnitees,  or any of them, arising out of or
     relating to the Transaction Documents,  including any use by Company of any
     proceeds  from the sale of this Note,  except to the extent such  liability
     arises from the gross negligence or willful  misconduct of the Indemnitees.
     To  the  extent  that  the   foregoing   undertaking   by  Company  may  be
     unenforceable for any reason,  Company shall make the maximum  contribution
     to the  payment and  satisfaction  of each of the  Indemnified  Liabilities
     which is permissible under applicable law.

                                       6
<PAGE>

          (b) Process.  Upon  receiving  knowledge of any suit,  claim or demand
     asserted  by a third  party  that  Investor  believes  is  covered  by this
     indemnity (a "Claim"), Investor shall give Company notice of the matter and
     an opportunity to defend it, at Company's sole cost and expense, with legal
     counsel satisfactory to Investor. However, the Indemnitees may retain their
     own counsel with the fees and expenses of not more than one counsel for the
     Indemnitees to be paid by Company, if, in the reasonable opinion of counsel
     retained by Company,  the representation by such counsel of the Indemnitees
     and Company  would be  inappropriate  due to actual or potential  differing
     interests  between such Indemnitees and any other party represented by such
     counsel. The Indemnitees shall, at Company's expense,  cooperate fully with
     Company  in  connection  with any  negotiation  or  defense of any Claim by
     Company. Company shall keep the Indemnitees fully apprized as to the status
     of the defense or any settlement negotiations with respect thereto. Company
     shall not be liable for any  settlement of any Claim  effected  without its
     prior  written  consent,   provided,   however,   that  Company  shall  not
     unreasonably withhold,  delay or condition its consent.  Company shall not,
     without the prior written consent of the  Indemnitees,  consent to entry of
     any judgment or enter into any  settlement or other  compromise  which does
     not include as an unconditional  term thereof the giving by the claimant or
     plaintiff to the  Indemnitees of a release from all liability in respect to
     such Claim. Any failure or delay of Investor to notify Company of any Claim
     shall not relieve Company of its obligations under this Section,  but shall
     reduce such obligations to the extent of any increase in those  obligations
     caused  solely by an  unreasonable  failure or delay.  The  indemnification
     required by this Section  shall be made by periodic  payments of the amount
     thereof  during the course of the  investigation  or  defense,  as and when
     bills are received or Indemnified  Liabilities are incurred.  The indemnity
     agreements contained herein shall be in addition to (i) any cause of action
     or similar right of an Indemnitee has against  Company or others,  and (ii)
     any  liabilities  Company  may be  subject  to  pursuant  to the  law.  The
     obligations of the parties under this Section shall survive the payment and
     performance of the Obligations.

         15. No Third Party Rights.  Nothing  expressed in or to be implied from
this Note is intended to give, or shall be construed to give, any Person,  other
than the parties hereto and their  permitted  successors and assigns  hereunder,
any benefit or legal or equitable  right,  remedy or claim under or by virtue of
this Note or under or by virtue of any provision herein.

         16. Expenses.  Company shall pay on demand, (a) all reasonable fees and
expenses,  including  reasonable  attorneys'  fees  and  expenses,  incurred  by
Investor in connection with the preparation,  execution and delivery of, and the
exercise  of its rights and duties  under,  this Note and the other  Transaction
Documents,   and  the  preparation  of  amendments  and  waivers  hereunder  and
thereunder;  and (b) all  reasonable  fees and  expenses,  including  reasonable
attorneys' fees and expenses, incurred by Investor in the enforcement or attempt
to enforce any of the Obligations which is not performed as and when required by
this Note or the other Transaction Documents.

         17. Cumulative Rights, etc. The rights, powers and remedies of Investor
under this Note shall be in addition to all rights, powers and remedies given to
Investor by virtue of any applicable law, rule or regulation of any governmental
authority, any Transaction Document or any other agreement, all of which rights,
powers,  and remedies shall be cumulative and may be exercised  successively  or
concurrently without impairing Investor's rights hereunder.

                                       7

<PAGE>

         18. Payments Free of Taxes, Etc. All payments made by Company under the
Transaction  Documents  shall be made by Company  free and clear of and  without
deduction for any and all present and future taxes, levies, charges,  deductions
and withholdings.  In addition, Company shall pay upon demand any stamp or other
taxes,  levies or charges of any  jurisdiction  with  respect to the  execution,
delivery, registration, performance and enforcement of this Note.

         19. Partial Invalidity. If at any time any provision of this Note is or
becomes  illegal,  invalid or  unenforceable in any respect under the law or any
jurisdiction,  neither the legality, validity or enforceability of the remaining
provisions of this Note nor the  legality,  validity or  enforceability  of such
provision under the law of any other  jurisdiction  shall in any way be affected
or impaired thereby.

         20.  Interpretive  Provisions.  References in this Note and each of the
other  Transaction  Documents  to any  document,  instrument  or  agreement  (a)
includes all exhibits, schedules and other attachments thereto, (b) includes all
documents,  instruments or agreements issued or executed in replacement thereof,
and (c)  means  such  document,  instrument  or  agreement,  or  replacement  or
predecessor thereto, as amended, modified and supplemented from time to time and
in effect at any given time. The words  "hereof,"  "herein" and  "hereunder" and
words of similar import when used in this Note or any other Transaction Document
refer to this Note or such other Transaction  Document, as the case may be, as a
whole and not to any particular provision of this Note or such other Transaction
Document,  as the  case  may be.  References  in  this  Note  to  "Sections"  or
"Schedules"  are to  sections or  schedules  herein or hereto  unless  otherwise
indicated.  The words "include" and "including" and words of similar import when
used in this Agreement  shall not be construed to be limiting or exclusive.  The
word "or" when used in this Note shall mean either as well as both.  Headings in
this  Note  are for  convenience  of  reference  only  and  are not  part of the
substance hereof. All terms defined in this Note in the singular form shall have
comparable meanings when used in the plural form and vice versa.

         21. Construction. Each of this Note and the other Transaction Documents
is the result of negotiations among, and has been reviewed by, Company, Investor
and their respective counsel.  Accordingly,  this Note and the other Transaction
Documents  shall be deemed to be the  product of Company  and  Investor,  and no
ambiguity shall be construed in favor of or against Company or Investor.

         IN WITNESS WHEREOF, Company has caused this Note to be issued as of the
date first written above.

                                      THE 3DO COMPANY
                                      a California corporation

                                      By:   /s/ James A. Cook
                                          -------------------------------------
                                      Name:     James A. Cook
                                           ------------------------------------
                                      Title:    Executive Vice Presdient
                                             ----------------------------------

                                       8

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