MARKHAM, ON/ Munich, Germany March 14, 2005 - ATI Technologies Inc. (TSX: ATY, NASDAQ:ATYT), has closed its acquisition of CuTe Solutions Pvt. Ltd. of Hyderabad, India. CuTe's expertise in audio and digital media solutions will broaden ATI's offerings for consumer electronics devices and personal computers. When added to ATI's existing leadership in graphics and video technologies, ATI is very well positioned to lead the industry in digital multimedia solutions for all platforms.

"With CuTe's expertise in audio, our customers can look to ATI for the industry's best integrated multimedia solutions," said Adrian Hartog, Senior Vice President and General Manager, Consumer Business Unit, ATI Technologies Inc. "We are pleased to have the CuTe team join ATI."

CuTe's offices in Hyderabad will also form the basis of ATI's new research and development centre in India, ATI Technologies India Private Limited. ATI will retain CuTe's staff and plans to hire additional engineering resources. "We are delighted to join the ATI team," said Dasaradha Gude, Managing Director, ATI Technologies India Pvt. Ltd. "ATI has demonstrated its strength in graphics and video and is partnered with the best consumer electronics and PC companies in the world. CuTe will strengthen ATI's offerings even more."

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