Press Release - 2002

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HANOVER, Germany - ATI Technologies Inc. (NASDAQ: ATYT, TSE: ATY) is bringing its award-winning RadeonTM technology to the Intel Pentium® 4 processor-based integrated graphics chipset market with the launch of the Radeon IGPTM family, the world's most powerful, feature-rich integrated graphics processors for the desktop and mobile PC markets. The announcement was made today at CeBIT, the world's largest technology show.

The new Radeon IGP family includes three 'Northbridge' integrated graphics processors for the Intel platform: the Radeon® IGP 330 (Pentium® 4 processor compatible), and Radeon® IGP 340 (Pentium 4 processor compatible) for the value and mainstream desktop PC market, and the Radeon® IGP 340M (Pentium® 4-M processor compatible) for the value and mainstream notebook PC market. The new chips will be manufactured under a licensing agreement between ATI and Intel announced in January 2001. The Radeon IGP family will begin shipping this spring and summer in products from a variety of desktop motherboard and notebook manufacturers.

ATI is also delivering two 'Southbridge' integrated communications processors to the market: the IXPTM 200 and IXPTM 250, each of which can be used in either a mobile or desktop configuration. ATI's IXP 200 and IXP 250 incorporate industry-standard Ethernet technology from 3Com Corporation, Santa Clara, Calif., and offer users a wide range of advanced I/O connectivity features. A six port USB 2.0 interface allows users to connect to high-speed devices such as digital camcorders, and provides the ability to transfer video back to the computer at high speeds. On-board support for six-channel digital surround sound provides users with an unmatched audio experience, and the IXP PCI 2.3 expansion slots allow computer manufacturers or users to expand the capabilities of the base platform. In addition, the IXP 250 provides advanced manageability features required for the commercial market including a remote boot agent, a desktop management interface, and remote wake on LAN.

"As a vital part of ATI's IXP 200 and IXP 250 communications processors, 3Com's Ethernet technology brings a high-performing and reliable solution to customers, particularly in the commercial segment, where stability and compatibility is critical," said Dennis Connors, President, 3Com's Business Connectivity Company.

"With over half of the market moving towards integrated graphics solutions, this growth sector presents an outstanding opportunity for ATI," said K.Y. Ho, Chairman and CEO, ATI Technologies. "With the feature rich Radeon® 7000 core, ATI will be able to deliver integrated graphics processors with outstanding performance at competitive prices."

"IDC predicts that core logic chipsets with integrated graphics controllers will be sold in nearly 60 per cent of the new desktop and mobile PCs sold in 2002 and will generate $2.4 billion in revenue," said Shane Rau, Senior Semiconductor Analyst at IDC. "ATI's advanced graphics technology and support for both the Intel Pentium® 4 processor and AMD Athlon and Duron platforms give it a significant opportunity to succeed in this rapidly growing market."

The Radeon IGP family uses a 64-bit system architecture and 266 MHz DDR memory interface, and is the first and only integrated graphics solution to support ATI's industry-leading PowerPlay™ power management technology. The Radeon IGP family employs a scalable architecture with AGP 4X support, which allows the user to upgrade their system with a performance graphics board, such as ATI's Radeon® 8500. The Radeon IGP family is also the only integrated graphics family to include ATI's proprietary Fast Z-Clear technology that increases 3D rendering speed, TV-out functionality and Hydravision™ dual-display support.

The Radeon IGP family also features ATI's exclusive FlexFitTM Universal Platform Architecture, which allows computer manufacturers to control their engineering investment and support costs while still offering a variety of systems, each tailored to a targeted computer segment. FlexFit allows computer manufacturers to design products for all segments by creating a baseline platform that can be tailored to satisfy the needs of different market segments without changing the BIOS and driver set or redesigning the motherboard.

The Radeon IGP family incorporates a variety of award-winning Radeon® features including ATI's Pixel Tapestry™ and Video Immersion™ engines. Pixel Tapestry allows the Radeon IGP family of processors to create lifelike environments by combining the industry's leading rendering engines with an unprecedented set of 3D special effects. The chip's ability to process up to three textures concurrently means unsurpassed performance in accelerating multi-textured game content. The VIDEO IMERSION adaptive de-interlacing engine advances ATI's historic leadership in digital video and delivers features such as hardware motion compensation and iDCT (inverse discrete cosine transform).

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Company Background

Founded in 1985, ATI Technologies Inc. is a world leader in the supply of graphics, video and multimedia solutions for personal computer and Mac platforms. The pioneer, innovator and market leader in the graphics industry, ATI provides cutting-edge technologies for the PC, workstation, set-top box, game console and other consumer appliances markets. The Company has more than 1,900 employees supporting customers from its headquarters in Markham, Ontario, Canada, as well as from offices in Barbados, France, Germany, Hong Kong, Ireland, Japan, Malaysia, the United Kingdom and the United States. ATI common shares trade on NASDAQ (ATYT) and the Toronto Stock Exchange (ATY).


Contact Information

For media or industry analyst support, visit our Web site at http://www.ati.com or:
Derek Baker, Media Relations, BenchMark PorterNovelli, at (416) 422-7158 or dbaker@bmporternovelli.com

For Information:
Chris Hook, PR Manager, Mobile and Integrated Business Unit, ATI Technologies Inc., 905-882-2600 x 8477, chook@ati.com
Nicole Dortans, PR Manager, Europe, ATI Technologies Inc., +49 (89) 665 15-535, ndortans@ati.com

For investor relations support, please contact:
Janet Craig, Director, Investor Relations, ATI Technologies Inc., at (905) 882-2600, Ext. 2631 or jcraig@ati.com