ATI unleashes MOBILITY RADEON 9000.

Business Editors & High Tech Writers

LONDON--(BUSINESS WIRE)--Aug. 29, 2002

World's first mobile graphics solution with

programmable pixel shaders delivers stunning

3D performance and impeccable photo-realism

Hailed by industry experts as the most significant advancement in mobile graphics technology since ATI Technologies Inc. (NASDAQ:ATYT) (TSX:ATY) brought 3D graphics acceleration to notebooks in 1999, the MOBILITY(TM) RADEON(TM) 9000 visual processor was announced today at a worldwide launch event that brought together media, game developers, independent software vendors (ISVs) and computer manufacturers from North America, Europe and Asia.

Notebooks featuring the MOBILITY RADEON 9000 will ship almost immediately, beginning in September.

The MOBILITY RADEON 9000 visual processor dramatically outperforms the fastest competing chip, and is the first mobile graphics processor equipped with fully programmable pixel and vertex shading technology, which is required for true-to-life photo-realistic special effects.

The impressive list of new features found in the MOBILITY RADEON 9000 includes:

-- Hardware support for version 1.4 programmable pixel and vertex shaders: ATI's SMARTSHADER(TM) technology takes full advantage of the advanced new features in Microsoft(R) DirectX(R) 8.1 and means even the newest and most advanced 3D games will be fully supported;

-- The world's first mobile quad-pipe 3D architecture: Four parallel rendering pipelines to power the most challenging games and 3D business multimedia applications with amazing speed;

-- POWERPLAY(TM) 3.0, a significantly enhanced version of ATI's industry-leading power management technology which extends battery life in 3D applications and DVD playback, enabling, for example, full playback of feature-length movies. Enhancements include a new user interface and more user control over power management features, and improved power-to-performance ratios;

-- Industry-leading Internet video streaming: New FULLSTREAM(TM) technology leverages pixel shaders to accelerate video, remove blocky artifacts and improve the quality and scalability of streaming video;

-- Flexible multiple display architecture supported by HYDRAVISION(TM), ATI's desktop management software enabling productive and effective use of multiple displays and presentation software.

-- A host of other features including ATI ZOOM (to quickly and easily toggle between screen resolutions), an improved ratiometric expansion filter which provides clearer, crisper text and 2D graphics, and frame modulation, which makes 18-bit LCD panels look like high quality 24-bit panels.

"The MOBILITY RADEON 9000 is an unprecedented leap forward in mobile graphics performance, and delivers a variety of industry-first 3D, video and power-management technologies that dramatically raise the bar for notebook graphics as a gaming platform, mobile workstation platform and for accelerating business multimedia software," said Phil Eisler, Vice President and General Manager, Mobile and Integrated Business Unit, ATI Technologies Inc. "With the launch of the MOBILITY RADEON 9000, ATI has clearly achieved graphics performance leadership in both the desktop and mobile spaces, and has delivered world-class visual processors to the market."

With the introduction of the MOBILITY RADEON 9000, ATI is continuing its commitment to rapidly introducing revolutionary new architectures and moving high-end technologies into the mobile market at a fast pace.

"Consumer mobile is a fast-growing segment, and must deliver graphics performance on par with a desktop system to be compelling," said Martin Reynolds, GVP and Research Fellow, Gartner Dataquest. "New-generation graphics controllers, in conjunction with the advanced rendering features of DirectX 8.1, are paving the way for games that will establish the PC as the best personal gaming platform for 2003; their mobile siblings will, for the first time, bring that same recognition to mobile computers."

MOBILITY RADEON 9000 extends ATI's leadership in integrating key mobile features and components directly into the graphics processor, which saves ATI's OEM customers vital motherboard space, and reduces power consumption and cost, contributing to thinner and lighter designs with the highest available performance. MOBILITY RADEON 9000 also helps notebook manufacturers bring product to market faster at lower production costs by utilizing ATI's exclusive FLEXFIT architecture, which leverages pin and driver compatibility across ATI's mobile product line.

About the Company

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 processing unit (VPU) 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 2001 revenues in excess of US $1 billion, ATI has more than 1,900 employees in the Americas, Europe and Asia. ATI common shares trade on NASDAQ (ATYT) and the Toronto Stock Exchange (ATY).

Copyright 2002 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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