PRESS RELEASE

For further information contact:

ATI Technologies Inc.
Brian Hentschel, Media Relations
(905) 882-2600 (ext. 8130)
bhentsch@ati.com
www.ati.com


News announcements from Intel Developer Forum, Palm Springs, CA. - August 31, 1999

ATI's RAGE 128 PRO(TM) graphics chip only flat panel solution with integrated DVI support at Intel Developer Forum

RAGE FURY PRO(TM) (DVI) add-in board provides all-digital flat panel and digital CRT support at mainstream price

INTEL DEVELOPER FORUM, Palm Springs, Calif., August 31, 1999 - ATI Technologies Inc. (TSE: ATY, NASDAQ:ATYT) demonstrated the RAGE 128 PRO(TM) graphics chip at the Intel Developer Forum here today, the only graphic chip at the conference to provide integrated technology for digital flat panel displays and digital CRTs. ATI is also demonstrating the RAGE FURY PRO(TM) DVI (Digital Visual Interface) version of its newly announced RAGE FURY PRO graphics accelerator add-in board at the show. The RAGE FURY PRO, through the RAGE 128 PRO chip, provides integrated support for DVI, a standard developed by the Digital Display Working Group (DDWG) for the direct linking of flat panel monitors and CRTs to computers.

Using a RAGE 128 PRO chip, or with a RAGE FURY PRO add-in board, a flat panel monitor can be connected to a computer through an all-digital link, a significant improvement on the previous technology which required signal conversion from digital to analog then back to digital. The all-digital link results in the highest quality image compared to the digital-analog-digital conversion process, which resulted in picture degradation.

ATI is a long-standing member of the DDWG and a major contributor to the DVI specification. The mainstream-priced RAGE FURY PRO DVI version, to ship later in the fall of 1999, will be leading the industry in its transition from analog to all-digital flat panel implementation. "ATI has been a valued contributor in the development of the DVI specification," said Steve Spina, strategic initiatives manager at Intel Corporation. "As a major vendor in the graphics field, their input was important. We are pleased that they have a product ready for market that will help spur the growth of digital displays in the industry based on the DVI specification."

ATI's RAGE 128 PRO graphics chip provides flat panel support through integration of Transition Minimized Differential Signaling (TMDS) technology, which provides the direct all-digital link between computer and screen. ATI's integrated TMDS technology, with scaleable support from 25 to 165 mega-pixels per second, provides the interface for both digital flat panels and a new emerging class of digital CRTs. In addition, ATI stands ready to incorporate DVI copy protection mechanisms to enable secure playback of motion picture and television content. ATI is the only graphics vendor at IDF to display integrated TMDS at the chip level.

With the integrated TMDS function, PC OEMs avoid the need to include digital-analog-digital converters or discrete TMDS transmitters, which will result in lower cost flat panel-enabled systems. Lower cost systems, combined with ATI's reputation for high quality graphics acceleration, will result in faster market penetration of flat panel monitors where they will soon become pervasive in the computer industry.

"ATI and Princeton have worked side-by-side on the DVI spec, co-marketed our products, and are now enjoying the early benefits of market acceptance," said Darwin Chang, Vice President, Princeton Graphics. "Whether trading Pokemon cards or tracking the FED's next move on interest rates, ATI/Princeton's home and business customers appreciate and in fact demand the superior image quality."

In addition to the industry-leading RAGE 128 PRO chip, ATI also provides integrated TMDS in its value line RAGE XL mainstream chip. This chip provides for even lower cost flat panel implementation, maintaining functionality and quality, factors that will accelerate market penetration even further.

The Intel Developer Forum is a twice-yearly gathering of several thousand people from computer hardware and software companies who meet to discuss standards, technological compatibility and other aspects of computer research and design. ATI's RAGE FURY PRO will be front and center at the forum, where more than 30 cards will be demonstrated in classrooms, a number of Intel kiosks and ATI's booth at the show.


Corporate Profile

ATI Technologies Inc., the world's largest supplier of 3D graphics and multimedia technology, designs, manufactures and markets innovative and award-winning multimedia solutions and graphics components for the personal computer, set-top box and consumer electronics appliance markets. An ISO 9002 company, ATI is the world's leading supplier of video and 2D/3D graphics accelerators to OEM and retail customers. Founded in l985, ATI employs more than 1,600 people at headquarters in Thornhill, Ontario, and in offices in the United States, Germany, France, the United Kingdom, Ireland, Barbados, Malaysia, Japan and Hong Kong. ATI is a public company whose shares trade on the Toronto Stock Exchange and NASDAQ.

For other ATI news releases visit our web site at http://www.ati.com. Copyright © ATI Technologies Inc., 1999. All company and/or product names are trademarks and/or registered trademarks of their respective manufacturers. Features, pricing, availability and specifications are subject to change without notice.



About the Digital Display Working Group

The Digital Display Working Group was formed last fall to define a universal industry standard for the digital interface between PCs, consumer electronic devices and digital displays. The DDWG is a cooperative effort by Intel (Nasdaq:INTC), Compaq (NYSE:CPQ), Fujitsu, Hewlett Packard (NYSE:HWP), IBM (NYSE:IBM), NEC and Silicon Image. DDWG membership information can be found at www.ddwg.org.


All trademarks and registered trademarks are the property of their respective holders.


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