[Michael]

MARKHAM, Ontario – ATI Technologies Inc. (TSX:ATY, NASDAQ:ATYT) announced today that the industry-leading ATI XILLEON™ 220 has been chosen by Plat’ C2, Inc. for the BTBox (Broadband Terminal Box). With the benefit of ATI’s DTV expertise, Plat’ C2 can provide its customers with the latest in broadband technology for home entertainment and corporate communication.

With ATI’s XILLEON 220, Plat’ C2’s BTBox offers users access to broadband content, web browsing and e-mail via high speed Internet at ADSL (asymmetric digital subscriber line)/FTTH (fiber to the home) speeds (2-6Mbps in Japan) on a home TV with a digital video, S-Video or composite video connector. The BTBox also supports high quality MPEG2 video streaming over a corporate LAN (Local Area Network) with data rates up to 20Mbps.

“ATI’s XILLEON 220 is the best solution for Plat’ C2 to deliver broadband technology to our customers,” said John Y. Tsukahara, President and CEO, Plat’ C2, Inc. “We’ve been very pleased with the support that ATI has provided to us in Japan while developing this product, and now our BTBox customers can enjoy the benefits of the Internet, email, home TV entertainment and business content with all the rich interactive experience the XILLEON 220 can offer.”

The highly integrated XILLEON gives home entertainment manufacturers the flexibility to offer a wide variety of consumer solutions such as VOD (video-on-demand), 3D gaming, multi-stream video, PVR (personal video recording), PIP (picture-in-picture) and much more. XILLEON 220’s worldwide standard support for all major networks (DVB, ATSC, BS Digital, MHP) enables developers to use a single platform for multiple markets and further reduce costs.

“Based on its industry-leading capabilities and worldwide functionality, ATI’s XILLEON 220 is gaining constant exposure and recognition in the marketplace with the support from companies such as Plat’ C2,” said Gen Shimada, Director of Marketing for ATI Japan. “The combination of XILLEON 220 with devices such as broadband terminal boxes is indicative of the evolving state of consumer electronics and ATI is proud to partner with Plat’ C2 to include XILLEON 220 in their BTBox.”

XILLEON 220 integrates into a single chip all processor, graphics, video, audio, and I/O (input and output) capabilities needed in a set-top box or digital TV. Included are a 300 MHz 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.

ATI Technologies will exhibit its DTV technologies at International CES in booth 31145 (south hall) January 9-12, 2003 in Las Vegas, Nevada.