Infineon Introduces World’s First Low-Cost ADSL IAD Solution Supporting All-IP Networks and Green-IT; Extending the Single-Chip XWAY ARX100 Gateway Family with VoIP Functionality for Entry-Level and Full-Featured IADs

Neubiberg, Germany – March 2, 2009 – Infineon Technologies AG (FSE/NYSE: IFX) broadens its single-chip XWAY™ ARX100 gateway family announcing the XWAY ARX182 and XWAY ARX188 single-chip ADSL2+ Integrated Access Device (IAD) solutions. While the ARX188 is targeted at feature-rich IAD designs with high throughput and Quality of Service (QoS) requirements, the ARX182 is the industry’s first low-cost IAD solution dedicated to the up-and-coming entry-level segment of Analog Telephone Adaptors with integrated DSL functionality (DSL-ATA). Together with the new Subscriber Line Interface Circuit (SLIC) XWAY SLIC100 family, Infineon sets a benchmark in energy efficiency by enabling customers to exceed the requirements of European Union Code of Conduct (EU CoC) on Energy Consumption of Broadband Equipment by up to 35 percent. “Our ARX100 architecture underscores Infineon’s commitment to Green IT by significantly reducing the power consumption of home gateways. The ARX188 combines the advantages of the recently launched ARX168 for Internet Protocol Television (IPTV) with Infineon’s leading VoIP technology to offer superior multi-service gateways for consumers, whereas ARX182 supports carriers in migrating to All-IP networks,” said Christian Wolff, Division President of the Wireline Communications division at Infineon Technologies. “These new solutions further emphasize the commitment given to our OEM/ODM customers with the introduction of the ARX100 architecture: One Investment, Many Products.” About the XWAY™ ARX100 family In autumn 2008, Infineon introduced the industry’s first single-chip ADSL2+ gateway solution with integrated Gigabit Ethernet XWAY ARX168 addressing the burgeoning IPTV market. ARX188 lifts the capabilities of residential gateways to the next level by ensuring that the IAD does not become a bottleneck in the home network. Infineon has designed the ARX100 architecture with a dual-core networking CPU, protocol acceleration and Gigabit Ethernet support to guarantee ideal routing throughput. Together with 802.11n companion chips, ARX188 offers unique performance with WLAN data rates of well above 150Mbps. IPTV applications benefit from the high routing capabilities as well as from the many special DSL Physical Layer features such as Erasure Decoding and Re-Transmission. By supporting optimal throughput across various interfaces, ARX188 opens a fully new end-user experience when it comes to IPTV, content management and file sharing. At the same time it ensures carrier-grade voice quality even when heavy routing tasks are performed by the gateway. For entry-level applications and emerging markets, the VoIP-enabled ARX182 provides an attractive Bill-of-Material (BOM) to help carriers in their transition to an All-IP network. Complete Offering of xDSL CPE Solutions The ARX100 family extends Infineon’s portfolio of highly integrated single-chip devices for ADSL and VDSL Customer Premises Equipment. As the leading supplier of all major voice technologies: DECT / CAT-iq™, POTS, and ISDN, Infineon enables customers optimized IAD system solutions to address different market requirements. The SLIC100 family’s innovative design reduces power consumption by two-thirds in standby mode compared to existing solutions in the market. In addition, the voice subsystem footprint is also cut by up to 40 percent. All relevant parameters are programmable via software so all markets can be served with a single hardware design that meets all worldwide voice standards. A common benefit of the ARX100 family is the support for Green IT by building a wide range of energy saving features to meet the requirements listed in the latest version of the EU CoC on Energy Consumption of Broadband Equipment for 2009, 2010, 2011 and beyond. First results show that the stand-by power consumption of complete IAD designs based on the new Infineon solution beat even the strictest requirements of CoC by up to 35 percent. This complete system offering incorporating Infineon’s comprehensive coverage of xDSL interoperability enables OEM/ODM customers to position their products worldwide with shortest to time-to-market. Availability Samples of the Infineon XWAY ARX188 ADSL2+ IAD and the XWAY SLIC100 family are available. XWAY ARX182 samples will be available by the mid-2009. Further information on the ARX188, ARX182 and SLIC100 is available at http://www.infineon.com/cpe CAT-iq™ is the registered trademark of the DECT Forum. CAT-iq is the new global technology for broadband home connectivity.

About Infineon Infineon Technologies AG, Neubiberg, Germany, offers semiconductor and system solutions addressing three central challenges to modern society: energy efficiency, communications, and security. In the 2008 fiscal year (ending September), the company reported sales of Euro 4.3 billion with approximately 29,100 employees worldwide. With a global presence, Infineon operates through its subsidiaries in the U.S. from Milpitas, CA, in the Asia-Pacific region from Singapore, and in Japan from Tokyo. Infineon is listed on the Frankfurt Stock Exchange and on the New York Stock Exchange (ticker symbol: IFX).