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ATI and SK TELECOM To Cooperate On the Next Generation 3D Content Service
Platform

ATI graphics technology to provide SK Telecom's customers with the ultimate
3D gaming experience

MARKHAM, Ontario, SEOUL, Korea/ Munich, Germany - March 12, 2004 - ATI
Technologies Inc (TSE: ATY, NASDAQ: ATYT) and SK Telecom Co., Ltd (NYSE:
SKM, KOSPI: SKTELECOM) announced that they have signed an agreement to
jointly develop the 3D content service platform named GIGA (Graphic
Instruction Graphic Acceleration) and work closely with SK Telecom selected
cellular phone manufacturers and 3D content developers.

The GIGA specifications will be based on industry standards, or de facto
standards such as OpenGL ES, and released to cellular phone manufacturers,
content developers and other collaborators in the wireless service
marketplace.

Cellular phones designed for GIGA platform are to be powered by ATI's
IMAGEON(tm) 2300 series multimedia processor that provides outstanding 3D
graphics performance for consumers to enjoy the ultimate 3D gaming
experience. SK Telecom is planning to launch the 3D game service in early Q4
of this year in Korea and is currently in the process of selecting
manufacturers to build the cellular phones for the service.

"Thanks to the dedicated hardware 3D acceleration in the IMAGEON processor,
users of GIGA service will experience on cellular handsets the similar
visual quality and 3D gaming performance they have had on PCs and game
consoles," said Dr. Wonhee, Sull, Vice President of Platform R&D Center, SK
Telecom.

"Achieving realistic 3D graphics performance in cellular phones with minimum
power consumption was one of the key design considerations of our handheld
products," added Adrian Hartog, Executive Vice President & General Manager,
Consumer Product Division, ATI Technologies. "We took the world leading
technologies from our proven notebook graphics experience and further
enhanced them for the IMAGEON series chips. We are very excited that SK
Telecom is recognizing our technology leadership."

"SK Telecom is one of the most advanced mobile carriers in the world. They
have successfully launched many cutting edge services in the past and I am
certain that this 3D content service will be another success story in the
mobile industries. Together with handset manufacturers and content providers
for this service, we can expand our cooperation into other marketplaces
beyond Korea," said K.Y. Ho, Chairman and CEO of ATI Technologies.

About SK Telecom
SK Telecom is Korea's leading provider of information and telecommunications
services spanning Mobile Services, M-Commerce, overseas operations and
subsidiaries. SK Telecom's SPEED 011, Korea's leading cellular service
brand, NATE wireless Internet service and JUNE multimedia service, which
offers Video Phone, VOD (Video On Demand) and AOD (Audio On Demand) for
CDMA2000 1X and 1X EV-DO mobile phone users, are providing unrestricted
access to communication anytime, and anyplace. SK Telecom already has
established a presence in China, Northeast Asia, Southeast Asia, Europe and
the USA. The company, that has extensive experience and technology related
to first-generation analogue and second-generation CDMA wireless
communications, is leading the race to develop the third-generation IMT-2000
system and services. For details, please visit <http://www.sktelecom.com>
http://www.sktelecom.com.


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 2003
revenues in excess of US $1.3 billion, ATI has more 2,200 employees in the
Americas, Europe and Asia. ATI common shares trade on NASDAQ (ATYT) and the
Toronto Stock Exchange (ATY).

Forward-looking Statements and Uncertainties
Certain statements in this press release constitute "forward-looking
statements." When used in this press release, words such as "plans,"
"intends," "anticipates," "should," "estimates," "expects," "believes,"
"indicates," "targeting," "suggests," and similar expressions are intended
to identify forward-looking statements. Forward-looking statements are based
on current expectations and entail various risks and uncertainties that are
outlined in this press release and in the Company's 2002 Annual Report and
2001 Annual Information Form. As a result of these risks and uncertainties,
the Company's operating results and common share price may be subject to
significant volatility, particularly on a quarterly basis. For example, the
markets for the Company's products are characterized by changing market
conditions, frequent new product introductions, seasonal and variable demand
and rapid technology changes. Other factors that could cause the Company's
results to vary include, but are not limited to, lack of anticipated growth
in the demand for PCs, gaming consoles and consumer electronic devices in
which the Company's products are incorporated, reductions in the Company's
average selling prices for its products due to competitive pressures and
other factors, the introduction of new products by the Company's competitors
which render the Company's products non-competitive, delays encountered by
the Company in developing new products or enhancements, including integrated
graphics and core logic components, in the time frame required by its
customers, delays in manufacturing or unfavourable manufacturing yields
experienced by the Company's independent foundries, unexpected variances in
material costs, including silicon wafer, memory and printed circuit boards,
and constraints on the supply of components utilized in the Company's
products and in the PC industry generally. These risks and uncertainties
could cause or contribute to actual results that are materially different
from those anticipated or experienced in the past. Additional information
concerning factors that could cause the Company's financial results to
fluctuate is contained in the Company's filings with Canadian and U.S.
securities regulatory authorities. ATI disclaims any obligation or intention
to update or revise any forward-looking statement, whether as a result of
new information, future events or otherwise.
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Copyright 2004 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.


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