ATI Radeon'R' X1600 XT Powers High Impact Performance in HP Business PCs

Market Wire, June, 2006

ATI delivers exceptional graphics and Windows Vista(TM) 3D support for power users

ATI Technologies Inc.'s (TSX: ATY)(NASDAQ: ATYT) Radeon® graphics technology is now available as an option for HP customers that direct order a customized HP dc7600 Convertible Minitower or any currently shipping HP Microtower Desktop PC. The Radeon® X1600 XT offers power users high quality performance and the ability to power the 3D graphics in the upcoming Windows Vista(TM) operating system.

"ATI continues to deliver the productivity and performance gains enterprise users need," says Vijay Sharma, Director, Product Marketing, ATI Technologies. "With ATI's X1600 XT, power users are well equipped to experience the breadth of Vista's capabilities and take advantage of changing technologies."

The power user also benefits from the Radeon X1600 XT's dual- DVI link, which powers crystal clear pictures on multiple high-resolution displays, and the card's ability to deliver the clarity of more than one billion colors on screen.

"HP is committed to delivering superior business PC solutions that offer the performance and technology our customers trust us to deliver," said Doug Pelton, worldwide product marketing manager, I/O and Graphic Products, Business Desktops, HP. "Designed to support sophisticated visual technology, ATI's Radeon X1600 XT graphics help ensure that every business user can take full advantage of the upcoming Windows Vista Aero Graphical interface."

For more about the ATI Radeon X1600 XT graphics card please visit http://www.ati.com/products/home-office.html .

About ATI Technologies

ATI Technologies Inc. is a world leader in the design and manufacture of innovative 3D graphics, PC platform technologies and digital media silicon solutions. An industry pioneer since 1985, ATI is the world's foremost graphics processor unit (GPU) 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 device markets. With fiscal 2005 revenues of US $2.22 billion, ATI has more than 3,400 employees in the Americas, Europe and Asia. ATI common shares trade on NASDAQ (ATYT) and the Toronto Stock Exchange (ATY).

Important Information Regarding Forward-looking Statements

Certain statements in this news release, including but not limited to the performance of Radeon X1600XT graphic card may be considered "forward-looking". Such forward-looking statements are based on current expectations, and, accordingly, entail various risks and uncertainties. Risks that could cause actual results to differ materially from such forward-looking statements include demand for and acceptance of our products and those of our customers and potential software and hardware integration issues. We therefore cannot provide any assurance that such forward-looking statements will materialize. We assume no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason. Additional information concerning risks and uncertainties affecting our business and other factors that could cause actual results to differ materially from any forward-looking statement is contained in our filings with Canadian and U.S. securities regulatory authorities, including our 2005 Annual Information Form and 2005 Annual Report filed on SEDAR at www.sedar.com . Our Form 40-F and other filings we make with the U.S. Securities and Exchange Commission are available on EDGAR at www.sec.gov .

Copyright 2006 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

Contacts: For media inquiries: ATI Technologies Nicole Emanuel, Public Relations Manager (905) 882-2600, Ext. 3907 nemanuel@ati.com Other ATI Contacts: High Road Communications Sarah Vella (416) 644-2270 svella@HighRoad.com For investor relations support ATI Technologies Inc. Zev Korman, Investor Relations (905) 882-2600, Ext. 3670 zev@ati.com www.ati.com