Press Release - 2004

MARKHAM, Ontario – ATI Technologies Inc. (TSX: ATY, NASDAQ: ATYT) today announced the TV WONDER™ USB 2.0 – a high quality, low cost external TV tuner solution that easily plugs into both desktops and notebooks. The key features include quick setup, TV viewing with full personal video recorder (PVR) capabilities, and video capture for editing. Available this summer in North America, TV WONDER USB 2.0 will be offered with a manufacturer’s suggested retail price (MSRP) of USD$100.

“The unique combination of ATI’s industry leading THEATER 200 chip with the critically acclaimed Multimedia Center software, plus the high-speed bandwidth of USB 2.0, deliver industry leading All-in-Wonder visual quality and advanced features not available in any other external video solution,” said Godfrey Cheng, Director of Marketing, Multimedia Products, ATI Technologies Inc. “TV Wonder USB 2.0 brings industry leading TV and video capture features to desktops and notebooks quickly, easily and without having to open the PC.”

Powered by ATI’s industry leading Multimedia Center™ software, TV WONDER USB 2.0 includes full PVR capabilities enabling users to watch, record and pause live television with ease. The product also features a fully-searchable interactive electronic program guide (EPG) that displays the schedule for TV shows for immediate or future viewing. In addition to video capture functionality, TV WONDER USB 2.0 features the EazyLook™* distance user interface that enables remote access from the couch, bedroom or dormroom when used with ATI’s Remote Wonder™ remote control (offered as an optional upgrade purchase).

TV WONDER USB 2.0 is able to deliver high quality images and sound via the Universal Serial Bus (USB) -- a high-speed communications standard that makes it easy to connect peripheral devices to desktops or notebooks. USB 2.0 is up to 40 times faster than USB 1.1. This remarkably fast speed makes it possible for TV WONDER USB 2.0 to deliver much higher quality TV images on desktops and notebooks. The USB 2.0 connection allows uncompressed digitized video and audio to be sent directly to the computer for a pristine live preview without any delays. The video can then be compressed using ATI’s All-in-Wonder® Encode to allow the customer to record the video for later personal viewing.

*Requires Radeon® 8500 or higher graphics support.

About ATI Technologies
ATI Technologies Inc. is the 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. ATI is dedicated to delivering leading-edge performance solutions for the full range of PC and Mac desktop and notebook platforms, workstations, set-top and digital televisions, game consoles and handheld device markets. With 2003 revenues in excess of US $1.3 billion, ATI has more than 2,500 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 media inquiries:
John Swinimer, Public Relations Manager, Consumer Products Division, ATI Technologies Inc., 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