ATI strengthens its position in the mobile phone market

MARKHAM, Ontario--(BUSINESS WIRE)--Nov. 29, 2004--ATI Technologies (NASDAQ:ATYT)(TSX:ATY) today announced that Motorola has expanded its mobile phone line up with twelve recently announced handsets based upon ATI's IMAGEON(TM) Media Processors. The new models include RAZR V3 - the industry's thinnest quad-band clamshell video phone, A630 - a two-way email EMS phone, i860 - an iDEN clamshell, camera phone, and E398 - an MP3 player/camera phone with 3D stereo speakers. These phones have already captured the attention of the market with numerous reviews published on-line and in mobile magazines.

Improving on its best selling V500/V600 clamshell phones, Motorola introduces RAZR V3, the world's thinnest flip phone (only 13.9 mm thickness) with a multitude of multimedia features including MPEG4 video playback accelerated by the ATI IMAGEON(TM) Media Processor. The Motorola A630 is a versatile, EMS 5.0 compatible two-way email and camera phone that can be flipped open offering a full QWERTY keyboard, and a landscape LCD display. The i860 is NexTel's first camera phone on the iDEN network. Stunning images on full color LCD displays and high quality video on these phones are made possible by ATI's IMAGEON Media Processors.

ATI's IMAGEON(TM) Media Processors provide advanced multimedia features such as digital still image capture (digital camera), Image Viewing (JPEG decoding) and rotation, and video clip (MPEG4) playback. All these functions create an enhanced visual experience for the end-user, and help propel new wireless services such as the popular Multimedia Messaging System (MMS) services. In addition, all the integrated features, including frame buffer memory and flexible display (LCD) controller, allow the IMAGEON(TM) to take workload off of the handset's baseband processor, thereby minimizing power consumption and extending battery life.

Presently available Motorola mobile phones with ATI IMAGEON(TM) Media Processors are:

GSM/GPRS: Razr V3, E398, A630, V80, V620, V600, V550, V547, E550,
          V545, V535, V525, V500, V400, and V300

iDEN:     i860

For more information about ATI's graphics, visit www.ati.com. To learn more about Motorola's new handsets, visit www.motorola.com.

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 (VPU) provider and is dedicated to delivering 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 device markets. With 2004 revenues of US $2 billion, ATI has more than 2,700 employees in the Americas, Europe and Asia. ATI common shares trade on NASDAQ (ATYT) and the Toronto Stock Exchange (ATY).

Copyright 2004 ATI Technologies Inc. All rights reserved. ATI and ATI product and product feature names are trademarks and/or registered trademarks of ATI Technologies Inc. All other company and product names are trademarks and/or registered trademarks of their respective owners. Features, pricing, availability and specifications are subject to change without notice.

For media or industry analyst support, visit our Web site at http://www.ati.com

    CONTACT: For media inquiries:
             ATI Technologies Inc.
             Patricia Mikula, Public Relations Manager
             (905) 882-2600, Ext. 8809
             pmikula@ati.com
             OR
             Other ATI Contacts:
             Porter Novelli Canada
             Derek Baker, Senior Consultant
             (416) 422-7163
             derek.baker@porternovelli.com
             OR
             For investor relations support, please contact:
             ATI Technologies Inc.
             Janet Craig, Director, Investor Relations
             (905) 882-2600, Ext. 2631
             janet@ati.com

    SOURCE: ATI Technologies Inc.