<br><blockquote><i><p>MARKHAM, Ontario/ Munich, Germany - April 1, 2005 - ATI Technologies Inc. (TSX: ATY, NASDAQ: ATYT) announced today that SAMSUNG Electronics Co. Ltd. has chosen Xilleon(tm) 226 and Theater(tm) 313 for its new line-up of DLP (Digital Light Processing) high-definition digital televisions. These new DLP HDTVs take advantage of the high quality display features in Xilleon 226, while delivering reception capabilities thanks to Theater 313. </p>
<p>
Currently available in the United States and Korea, the core range of SAMSUNG DLP HDTVs, featuring Xilleon 226 and Theater 313, include HLR-4266W, HLR-4677W, HLR-5087W, HLP-5067W, HLR-5067W, and HLR-5688W. </p>
<p>
As a continuation of the cooperative alliance established in 2003, SAMSUNG has selected ATI's Xilleon and Theater chips in their series of mainstream to premium HDTVs for the worldwide market. Unit sales for the United States HDTV market alone is expected to reach 11.9 million in 2006 and 16.2 million in 2007 according to the Consumer Electronics Association.</p>
<p>
"SAMSUNG recognizes ATI for world class DTV semi-conductor capabilities matched by visual display technical leadership," said Mr. BooKeun Yoon, Senior Vice President of Samsung Digital Media Network, SAMSUNG Electronics. "SAMSUNG chose ATI based on the company's DTV expertise combined with market leading features."</p>
<p>
"ATI is very proud to deliver market leading HDTV technology with Samsung -- one of the world's largest consumer electronics manufacturers," said Daniel Eiref, Director of Marketing, DTV group, ATI Technologies Inc. "Together ATI and SAMSUNG will be able to deliver an exceptional lineup of HDTVs featuring Xilleon and Theater to customers who will benefit from outstanding HD reception and display."</p>
<p>
Xilleon 226 integrates into a single chip all the processing, graphics, video, audio, and I/O (input and output) capabilities needed in a set-top box or digital TV. Included are a 300MHz MIPS® CPU (central processing unit), dual-HD (high-definition) capable MPEG decoder, audio decoder, dual display engine, 2D and 3D graphics engine, conditional access, transport demultiplexers, PCI (Peripheral Component Interconnect), USB (universal serial bus), and hard disk drive interfaces. Xilleon 226 also features spatial-temporal adaptive deinterlacing to ensure the highest quality video output.</p>
<p>
The Theater 313 incorporates a universal QPSK (quadrature phase shift keying) forward data channel (FDC) receiver and a BTSC/Dual FM demodulator and decoder. Theater 313 is configurable to operate in either the ITU-J.83B/SCTE DVS-031 compliant 64 QAM or 256 QAM modes used by digital cable systems, the NTSC analog system, or the ATSC compliant 8VSB mode used in digital terrestrial broadcasting. For digitally modulated input signals (QAM or 8VSB), Theater 313 outputs a parallel or serial MPEG compliant transport stream.</p>
<p>
ATI Technologies will be exhibiting its DTV solutions at The National Show 2005 at booth 6588 and at CableNET at Moscone Center, San Francisco from April 3 to 5, 2005.</p></i></blockquote>