Abstract: A model for networked control system(NCS) with random delays and packet dropout is presented,and the linear matrix inequality(LMI) condition for its asymptotical stability is analyzed.In order to reduce the effects of packet dropout on the system,a dropout compensator is added to the system,and a model for networked control systems with stochastic delays and dropout compensators is constructed.Based on this model,the sufficient conditions for the system asymptotical stability,γ suboptimum and optimum are given,and the output feedback control law for system H_∞ optimal control is obtained.Matlab simulation is made on the same example,and the results show that the convergence rate of NCSs with packet dropout compensation is faster.