For immediate release (Calgary, Alberta)
March 29, 1999

Zi Corporation (TSE: ZIC; NASDAQ: ZICA) announces that it has received subscriptions for private placements in the amount of approximately CAD$3.4 million. Pursuant to the private placements, Zi Corporation will issue Units at US$1.25 per Unit. Each Unit consists of one common share and one common share purchase warrant, where one warrant is exercisable into one further common share upon payment of US$1.75 per share for a period of 36 months from the date of closing. Proceeds from the private placements will be used by Zi Corporation to finance ongoing operations.

The securities described in this announcement have not been registered under the United States Securities Act of 1933, as amended (the "1933 Act"), or the securities laws of any state of the United States. Such securities may not be offered or sold in the United States or to a U.S. person, as that term is defined in Regulation S under the 1933 Act, nor may the warrants be exercised in the United States or by or on behalf of a U.S. person, absent registration under the 1933 Act and applicable state securities laws or the availability of an applicable exemption from such registration.

Zi Corporation’s corporate goal is to make modern electronic technology more accessible to people in a way that is consistent with their languages and culture. By connecting technology to language, Zi Corporation brings language processing to the mass market for devices such as mobile phones, set-top boxes, computers and other information appliances.

NEITHER THE ALBERTA STOCK EXCHANGE NOR NASDAQ HAVE APPROVED OR DISAPPROVED OF THE INFORMATION CONTAINED HEREIN.

FOR FURTHER INFORMATION, PLEASE CONTACT:

Zi Corporation

Carol Kim
Manager, Investor/Media Relations
(403) 233-8875
website: http://www.zicorp.com/