Press Release - 2004

MARKHAM, Ontario – Crystal clear HDTV broadcasts can be enjoyed on the PC with the new HDTV WONDER™ announced today by ATI Technologies Inc. (TSX:ATY, NASDAQ:ATYT). North American customers will be able to tune in and watch high-definition television (HDTV) programs on the PC without having to purchase an expensive TV that could cost more than $2,000. HDTV in North America offers up to 5.5 times the pixels (dots that comprise the screen) as standard TV resolution resulting in amazing picture quality.

In addition to supporting analog NTSC (National Television Standards Committee) cable, the HDTV WONDER add-in video card allows consumers to experience the new ATSC (Advanced Television Systems Committee) digital, free-to-air HDTV broadcasts without having to subscribe to cable or satellite subscription services. HDTV WONDER offers the best advanced personal video recorder (PVR) on the PC today enabling consumers to watch, pause and record both analog and HDTV programs -- powerful features beyond the capabilities of most current consumer and PC-based appliances. Additionally, HDTV WONDER leverages the PC’s capabilities by offering the ability to archive content directly to DVD for personal use. HDTV WONDER complements ATI’s Radeon® line of video cards that deliver the industry’s only full HDTV decoder and display capabilities.

“ ATI is simply unrivaled in the analog PC TV space,” said Godfrey Cheng, Director of Marketing, Multimedia Products, ATI Technologies Inc. “In 2004, ATI will continue to perfect our analog technologies and introduce new digital television (DTV) products such as HDTV WONDER – concrete proof of how ATI’s investment in television and video technologies is coming to fruition. By leveraging our core DTV technologies and the power of the PC, ATI has delivered a PC product that has more functionality than many of today’s more expensive consumer electronics devices.”

Consumers in the home and office can now receive DTV content in more places than ever before. Popularly rated TV programs, such as major league sporting events, soap operas, and prime-time shows, are all broadcast in HDTV. The National Association of Broadcasters (www.nab.org) reports there are currently 1,155 DTV stations on air in 203 markets, serving 99.42 per cent of United States’ TV households.

HDTV WONDER incorporates ATI’s own NXT2004™ VSB/QAM receiver designed to receive off-air DTV signals in a wide variety of challenging terrestrial signal reception environments. NXT2004 integrates features such as advanced multipath cancellation, tuner control and all-digital carrier recovery circuitry that eliminates the need for any other external components. When combined with the award-winning software application suite, ATI’s Multimedia Center, ATI can deliver a product that will simply revolutionize the PC and the North American TV market.

Starting this spring, HDTV WONDER will be available as a bundled purchase with selected All-in-Wonder video cards and separately on ati.com followed by broad distribution in retail stores. Additionally, HDTV WONDER will be offered in Hy-Tek’s Tekpanel 300HD and the Tekpanel 370HD (http://www.tekpanel.com), wide-screen all-in-one multimedia computers for home or office. The Hy-Tek solutions offer state-of-the-art 30-inch diagonal WXGA TFT/LCD, full-color, wide screen displays to showcase the digital detail found in HDTV broadcasts.

Company Background
ATI Technologies Inc. is a world leader in the design and manufacture of innovative 3D graphics and digital media silicon solutions. An industry pioneer since 1985, ATI is the world’s foremost visual processor unit (GPU) provider and is dedicated to deliver leading-edge performance solutions for the full range of PC and Mac desktop and notebook platforms, workstation, set-top and digital television, game console and handheld markets. With 2003 revenues in excess of US $1.3 billion, ATI has more than 2,200 employees in the Americas, Europe and Asia. 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 .

Other ATI Contacts:
Trevor Campbell, Director, Porter Novelli Canada, at (416) 422-7202 or trevor.campbell@porternovelli.com

For Information:
John Swinimer, Public Relations Manager, Consumer Products, at (905) 882-2600, Ext. 8456 or swinimer@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