Infineon Introduces Highly-Integrated SoC Solutions to Enable Higher Performance, Cost-Optimized VoIP Solutions for Next Generation Residential Gateways

Munich, Germany – September 11, 2006 – Infineon Technologies AG (FSE/ NYSE: IFX) today announced a new family of highly-integrated System-on-Chip (SoC) solutions with dual-core architecture and several integrated peripherals.  The new TwinPass family targets digital home applications, such as storage and media applications, Integrated Access Devices (IAD) powered by VDSL and PON access modems, Voice over IP (VoIP) routers, residential gateways, and peripheral data applications (Printer servers) TwinPass-VE brings carrier grade voice quality to the residential and small business environment by integrating a VoIP engine directly into the SoC.  TwinPass-E offers a high-performance CPU for next-generation gateways and routers that will support higher bandwidth applications and their requirements such as IPTV, next EWC/802.11n WLAN routers.   “With the growing demand of VoIP and IPTV services, systems continue to require higher performance and more bandwidth,” said Christian Wolff, Senior Vice President of the Communication Solutions Business Group and General Manager of the Wireline Access Business Unit at Infineon. “The TwinPass family addresses these market needs by enabling operators to develop a cost-effective, higher-performance system for digital home applications. Infineon continues to be a technology leader in the growing CPE market by adding new products to its broad portfolio.” According to market research firm Infonetics in a Dec. /2005 report, next generation residential gateways boosting IPTV and media services will grow from 2.9 Mio. 2005 and 19 Mio. Units in 2010. A major part will be driven by wider VDSL-2 deployment. The TwinPass SoC family supports worldwide standards through a flexible architecture, enabling system integrators to develop cost-effective solutions to address the emerging market trends of VoIP and video services.  Targeting mid- to high-end residential gateway applications, these products will be deployed in VDSL2 markets including the US, Europe, Asia Pacific, and Japan.   TwinPass-VE Boosts VoIP and VDSL2 Performance TwinPass-VE offers a highly-integrated VoIP processor SoC for wired and wireless VoIP router applications. TwinPass-VE includes two powerful 333 MHz MIPS 24KEc CPUs.  One CPU is used for network processing while the other is directly connected to the analog line module for high-quality voice processing. This product builds on Infineon’s extensive portfolio of VoIP technology and solutions, including CODECs, DSPs and SLICs.  TwinPass-VE enables a new class of high-performance home routers and gateways with integrated VoIP to meet the demands of leading carriers.   TwinPass-E Offers Total System Solution TwinPass-E is a highly-integrated SoC which includes two powerful 333 MHz MIPS 24KEc CPUs.  One CPU is used for high performance and secure network processing, while the other is used for customer applications, such as high-speed 802.11n and video streaming.  An additional embedded protocol processing engine provides high bandwidth throughput for networking, and effectively frees the two MIPS cores to perform other performance-critical applications.  A complete development kit is available to shorten time-to-market and to reduce overall development costs. Availability Engineering samples of both TwinPass-VE and TwinPass-E are available today, with production expected to commence in Q4/2006. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

About Infineon Infineon Technologies AG, Munich, Germany, offers semiconductor and system solutions for automotive, industrial and multimarket sectors, for applications in communication, as well as memory products through its subsidiary Qimonda. With a global presence, Infineon operates through its subsidiaries in the US from San Jose, CA, in the Asia-Pacific region from Singapore and in Japan from Tokyo. In fiscal year 2005 (ending September), the company achieved sales of Euro 6.76 billion with about 36,400 employees worldwide. Infineon is listed on the DAX index of the Frankfurt Stock Exchange and on the New York Stock Exchange (ticker symbol: IFX). Further information is available at www.infineon.com. Further information on Qimonda is available at www.qimonda.com.