MARKAM, Ontario/ Munich, Germany July 1, 2003 - ATI Technologies Inc. (TSX: ATY, NASDAQ: ATYT) today announced the integration of Soft Mixed Signal Corporation's USB2.0 PHY (physical layer) technology into its IXP family of integrated communications processors.

ATI's IXP 150, IXP 200 and IXP 250 integrated communications processors, also known as 'southbridges', work alongside ATI's recently announced RADEON 9100 IGP family of integrated graphics processors to deliver broad-based I/O (input/output) functionality. In addition to six-channel USB 2.0 support, ATI's IXP family delivers 3-COM 10/100 Ethernet, remote wake on LAN (local area network), and 5.1 channel audio.

"We are very pleased that ATI Technologies, the world's IGP graphics performance leader, has selected Soft Mixed Signal's advanced USB 2.0 PHY technology for their feature-rich line of IXP integrated communications processors," said Omer Kal, President and CEO, Soft Mixed Signal Corporation.

ATI's IXP integrated communications processors will begin shipping this summer in motherboards and notebooks by Asus, Compal, C.P. Technology, FIC, Gigabyte, Lite-On, MSI, PC Partner, Quanta, Shuttle, and Sapphire.

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).

About Soft Mixed Signal Corporation
Founded in 1995, Soft Mixed Signal Corporation (SMS) is a leading semiconductor intellectual property company offering innovative solutions for LAN, WAN and high-speed connectivity markets. Headquartered in Santa Clara, California, SMS provides leading edge solutions for high-volume, industry-wide standards-based vertical market areas. Soft Mixed Signal Corporation can be reached on the Internet at http://www.softmixedsignal.com.