Calgary, AB (Nov. 24, 1999) - Zi Corporation (TSE: ZIC, NASDAQ: ZICA) today announced results for the third quarter ended September 30, 1999. Third quarter revenues increased 112 per cent to $772,881 compared to $364,430 recorded in the third quarter of 1998 and 108 per cent over the second quarter 1999. The increase reflects the initial 60-day ramp-up in royalty payments from Ericsson Mobile Communications for the two GSM cellular telephones using Zi's intuitive language processing software, eZiTEXT(tm), as well as licensing fees. Year to date revenues were $1.4 million compared to $1.6 million in the same nine months of 1998. Year to date revenues for 1998 were higher due to licensing fees and non-recurring engineering fees recognized on Zi's contract with Ericsson Mobile Communications.

Since July, Zi has secured thirteen licensing and royalty agreements for its intuitive language processing software, eZiTEXT(tm). The company is currently integrating its technology on 10 -15 new platforms, which will enter the market place by the end of the first quarter of 2000. The agreements will yield approximately 30 platforms in the global market place before the end of the second quarter of 2000. Zi expects 2000 and 2001 to be breakthrough years for the company as it continuously attracts new licensees of its technology. "There are between 10 and 15 platforms with our technology poised to enter the market place during the next four months," says Michael Lobsinger, chairman and chief executive officer, Zi Corporation. "The strategy for embedding our technology in hand-held consumer devices and information appliances is showing results. In addition, Zi's technology will enable the interactive delivery of courseware and educational products over the Internet in Asia." Zi's technology was embedded on two platforms selling in the Asian market place during the third quarter. Ericsson Mobile Communications launched their T-10 and T-18 phones at the beginning of August and the T-28 in late September. Ericsson continues to report strong consumer demand for the new handsets and is ramping up production at its Swedish facility as well as opening Chinese and Philippine facilities before the end of 1999. Ericsson predicts that consumer demand will continue to outpace supply until the first quarter of 2000.

In October, Zi announced the acquisition of Beijing Oz Educational Network System (Beijing Oz). This acquisition provides greater market share for Zi's technology and a new income stream from the sale of web-based educational and re-training courseware. Beijing Oz's core business is the delivery of on-line career and educational software in Asia. Beijing Oz intends to use eZiTEXT(tm) for the delivery of its educational products.

"Expansion into the educational products market space began with our July 1999 agreement with the Ministry of Education. The acquisition of Beijing Oz compliments our relationship with the Ministry of Education and provides an excellent way to improve the share of the Chinese consumer market using Zi enabled technology products," says Michael Lobsinger, chairman and chief executive officer.

Zi continues to recruit employees in both project management and product development. Providing support to new licensees of Zi's technology is the motivation behind doubling the company's staff compliment, which is planned for the next six months.

Zi Corporation is Y2K ready in that neither the performance nor functionality of our products or internal management information systems and related hardware are affected by dates prior to, during and after the year 2000. Zi has completed testing to verify its Y2K ready status.

Zi Corporation is a software company making modern electronic technology more accessible to people in a way that is consistent with their language and culture. The company's eZiTEXT(tm) input software is licensed in numerous languages for devices ranging from mobile phones to 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 Beijing, Hong Kong, Calgary, San Francisco and Stockholm.

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:
Rod Mitton
Chief Financial Officer
Phone: (403) 233-8875
Email: investor@zicorp.com
Web site: http://www.zicorp.com/