For immediate release (Calgary, AB Canada)
March 27, 2000
 

Calgary, AB (March 27, 2000) - Zi Corporation (NASDAQ: ZICA) (TSE: ZIC) filed a patent infringement lawsuit against Tegic Communications, Inc. ("Tegic") on March 10, 1999. This lawsuit was the subject of a summary judgment ruling that is now awaiting oral argument on appeal. Zi has obtained a copy of a complaint for patent infringement (the "Complaint") filed by Tegic and Asian Communications Pty Ltd. ("Asian Communications"). The Complaint, filed on March 21, 2000 in the United States District Court in the Northern District of California, alleges that Zi Corporation and its wholly-owned subsidiary, Zi Corporation of America, Inc., have infringed certain United States patents licensed, assigned or owned by Tegic and Asian Communications.

"Zi views the filing of the Complaint as a response by Tegic to Zi’s own patent infringement lawsuit brought against Tegic last year," says Antoine Blondeau, president and chief operating officer, Zi Corporation. "In pushing forward Zi’s lawsuit against Tegic, we have been closely monitoring Tegic and Asian Communications’ patent positions on a worldwide basis. As a result, we are well prepared to meet the allegations made by Tegic and Asian Communications in the Complaint. Not only will Zi deny that there is any basis for the allegations of infringement, Zi is prepared with evidence of the invalidity of the patent claims underlying the Complaint; including evidence that Tegic failed to present to the Patent and Trademark Office."

The allegations made in the filed complaint relate only to claims of infringement based on United States patents held by Asian Communications and/or Tegic. Accordingly, Tegic’s allegations of infringement relate only to Zi’s commercial activities in the United States.

Zi Corporation is a leading provider of embedded software technology and educational products. The company’s core product, eZiText^TM, connects people to short messaging, email, e-commerce, web browsing, and similar applications in almost any written language. Zi’s strategic partners use the technology to enable information and Internet appliances that meet the needs of consumers, business, government and education systems. Zi supports its strategic partners from offices in Calgary, Beijing, Hong Kong, San Francisco, Shenzhen and Stockholm. A publicly traded company, Zi Corporation is listed on the NASDAQ Stock Market (ZICA) and the Toronto Stock Exchange (ZIC).

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.

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/