ATI Continues to Update CATALYST Software Suite at Unprecedented Rate

Business Wire, May 16, 2003

Business Editors/High-Tech Writers

MARKHAM, Ontario--(BUSINESS WIRE)--May 16, 2003

ATI's innovative software suite features DIVX(TM) acceleration and

performance gains of up to 30 per cent(a)

Starting today, computers featuring ATI's RADEON(TM) based video cards get an extra performance boost thanks to the availability of CATALYST(TM) 3.4 from ATI Technologies Inc. (NASDAQ:ATYT) (TSX:ATY). CATALYST is the industry's leading software suite that includes unified driver and software applications for ATI's RADEON family of graphics products. This software suite is based on the foundations of stability, performance, quality and innovation. Among its many new features, Version 3.4 is designed to improve video card performance by up to 30 per cent(a) in certain applications.

"From the time we launched the CATALYST software suite, we have been maintaining the most aggressive update schedule in the industry," said Terry Makedon, Senior Product Manager of Software, ATI Technologies Inc. "Furthermore, all our drivers are fully approved by receiving Microsoft(R) Windows(R) Hardware Quality Labs (WHQL) certification. The fact that ATI has such large performance gains while having the best recognized image quality in the industry is a testament to our dedication to provide the world's best software for graphic cards."

Other CATALYST 3.4 enhancements include:

-- Fullstream Acceleration of DIVX(TM) Player: Resulting from the

partnership ATI has with DivXNetworks, Inc., users of RADEON

class products based on RADEON(TM) 9500 models and higher will

enjoy improved DivX content playback. Through a unique

accelerated post-processing algorithm (supported in DivX

Player version 2.1 and higher) users can enjoy higher quality

DivX content exclusively on select RADEON products.

-- Enhanced Color Management system: A new control panel,

available for all RADEON users, has been designed for a unique

user experience. Users can easily control the color of desktop

content, gaming and video playback. Additionally, users can

also now define profiles for individual applications and

switch between them with the new hotkey feature.

-- EAZYLOOK(TM): Designed as a revolutionary user interface for

home theater settings, EAZYLOOK seamlessly integrates ATI's

REMOTE WONDER(TM) and ATI's MULTIMEDIA CENTER software suite.

To ensure stable and reliable performance, ATI video card drivers found in CATALYST 3.4 have received Microsoft(R) Windows(R) Hardware Quality Labs (WHQL) certification. ATI continues the tradition of always providing their end users with Microsoft certified drivers for the highest quality.

CATALYST 3.4 is available for download on www.ati.com

About ATI Technologies

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 (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 2002 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 2003 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

(a) Performance gains measured on test computer with an Intel P4 processor running at 2.53 GHz, 512MB of memory, and RADEON(TM) 9700 Pro running 3DMark03 benchmark using 8X Anisotropic Filtering and a screen resolution of 1600 X 1200.