ATI and Microsoft Usher in the HD Era of Gaming.

LOS ANGELES -- E3

Xbox 360 redefines the visual experience: unparalleled performance drives new levels of realism and immersion

The era of HD gaming is in full effect at E3 2005 with ATI Technologies Inc. (TSX:ATY)(NASDAQ:ATYT) showcasing the next-generation of visual entertainment on Xbox 360. Powered by a custom graphics processor from ATI, Xbox 360's elegant design combines raw power and gaming performance to deliver the absolute best console experience. Developed from the ground up for the HD world, the graphics processor in Xbox 360 provides unparalleled computational power and memory bandwidth, rendering games with striking image quality and immersive realism. Nearly two years in the making, the graphics technology behind Xbox 360 represents a quantum leap in technology and provides tremendous amounts of headroom for the HD gaming generation. At E3 2005 (booth 600), ATI Technologies Inc. will demonstrate an early glimpse of where Xbox 360 graphics are going with a next-generation demo featuring Ruby.

"The launch of Xbox 360 is a tipping point in the console market and will fully immerse gamers in the HD experience from head to toe," said Rick Bergman. Senior Vice President and General Manager, PC Business, ATI Technologies. "We now have the ability to engage gamers in a world of fluid realism, where motion and emotion combine to deliver an experience that transcends fantasy and reality. The graphics behind Xbox 360 bring a number of major new innovations to the graphics market that unlocks the imagination of developers and gamers alike."

In addition to the Ruby demo, the ATI booth at E3 2005 will show off some of the industry's most anticipated new game titles running on an award-winning portfolio of PC and consumer products.

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 graphics processing unit (GPU) 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 approximately 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 2005 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.

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ATI Technologies Inc. (TSX:ATY) (NASDAQ:ATYT)