MARKHAM, ON/ Munich, Germany - Wednesday October 27, 2004 - New market share numbers from Mercury Research show ATI gaining 17 percentage points of market share. This huge shift in customers is due to strength across all of ATI's product lines, from entry level to performance graphics, and is built on two years of product leadership in DirectX 9 graphics processors. The new numbers reveal ATI to be the largest graphics company by any measure, with over half of the desktop discrete market and nearly three quarters of the notebook discrete market, giving the company nearly three-fifths of the total discrete graphics market.

"Our business is firing on all cylinders," said Rick Bergman, Senior Vice President for ATI's PC Business Unit. "Not only are we strong in all aspects of our PC discrete business, but we're about to launch a powerful contender into the desktop integrated market, a market we've essentially been absent from up until this point. In addition, ATI is leading the graphics charge in cell phones, ahead of the curve in DTV and we're looking forward to delivering technologies for future Xbox and Nintendo products. The success is testament to the skills and dedication of the ATI employees, who have worked long and hard to put the company into this leadership position."

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 2004 revenues of US $2 billion, ATI has more than 2,700 employees in the Americas, Europe and Asia. ATI common shares trade on NASDAQ (ATYT) and the Toronto Stock Exchange (ATY).