Zi CORPORATION
NEWS RELEASE

For immediate release (Calgary, AB Canada)
January 18,  2000

Zi engages Lehman Brothers as investment banker

Calgary, AB (Jan. 18, 2000) – Zi Corporation (TSE: ZIC, NASDAQ: ZICA), a leading developer of text input software, today announced that it has engaged global investment banker, Lehman Brothers to act as its financial advisor on an exclusive basis.  Lehman has committed to assist Zi in the areas of equity financing and identifying merger and acquisition opportunities.

“We are pleased to be associated with an investment bank with the experience and reputation of Lehman Brothers,” says Michael Lobsinger, chairman and CEO, Zi Corporation.  “Their extensive commitment to the Asian marketplace and knowledge in the global markets will be an asset to Zi.”

Lehman Brothers is a global investment bank with leadership positions in corporate and municipal finance, advisory services and equity and fixed-income sales, trading and research.  Lehman Brothers serves the financial needs of corporate, government and institutional clients and high-net-worth individuals through offices in major financial centers worldwide.

Zi Corporation is leading provider of embedded software technology and educational products.  The company’s eZiTEXT™ input software is licensed in numerous languages for information and Internet appliances such as mobile phones, PDAs and TV set-top boxes.  Zi’s common shares trade on both the Toronto Stock Exchange (ZIC) and the NASDAQ stock market (ZICA).  Zi markets its technology through strategic partnerships worldwide from offices in Calgary, Beijing, Hong Kong, Stockholm and San Francisco.

Certain statements in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The information in this press release is based on Zi Corporation’s current expectation and assumptions, and is subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated.  Such risks include, among others, general business and economic conditions and competitive actions as well as the risks and uncertainties referred to in Zi Corporation’s 20-F for the most recent calendar year.

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For further information, please contact: 

Karen Attwell    
Manager, Investor/Media Relations   
Phone: (403) 233-8875    
Email: investor@zicorp.com    
Web site: http://www.zicorp.com/