Infineon Supplies the Security Chips for the World's First Electronic Passports of the Newest Generation Using Asymmetric Encryption

Neubiberg, Germany – August 1, 2013 – Infineon Technologies AG (FSE: IFX / OTCQX: IFNNY) today announced that it is supplying the security chips for the world's first electronic passports incorporating the Supplemental Access Control (SAC) protocol, which enhances protection against unauthorized access and possible abuse of personal data. The passports, issued by the Republic of Kosovo, contain Infineon security chips of the SLE 78 product family with ”Integrity Guard,” which offers the highest level of data security over the long term and are ideally suited for sovereign documents with a long period of validity. Germany-based Giesecke & Devrient manufactures the electronic passport solution for the Republic of Kosovo. "Our security chips create the technological pre-requisite for more data security and provide trust in electronic passports and eIDs on the part of public authorities and citizens," says Carsten Loschinsky, Head of Business Line Government ID for the Chip Card & Security Division of Infineon Technologies. To fulfill continually increasing security requirements for contactless access to data stored on the passport, the ICAO (International Civil Aviation Organization) now recommends use of  the SAC protocol. In contrast to the earlier generation BAC (Basic Access Control) protocol, SAC is based on asymmetric encryption. Within the EU, SAC will be mandatory for electronic passports issued from December 2014. As the first European country to comply with the new requirement, the Republic of Kosovo will issue 800,000 electronic passports. According to current estimates from market research firm IHS, roughly 192 million electronic passports are in circulation in Europe. In this region, over 30 million new electronic passports are issued each year. Security chips based on the digital security technology 'Integrity Guard' offer the highest level of protection against data manipulation that is currently available. The passport-holder's personal data are not only stored in encrypted form on the security chip, but also processed in encrypted form. In addition, the SLE 78 security controllers with their 16-bit architecture provide better computing performance, which results in faster processing for citizens when they cross borders. Further information is available under http://www.infineon.com/integrityGuard. Security for the connected world Based on its core competences in the fields of security, contactless communication and integrated microcontroller solutions (embedded control), Infineon offers an extensive portfolio of semiconductor-based security products for many chip card and security applications. With this expertise, Infineon is helping to increase security in an increasingly connected world, for example for mobile payment, for system security and secure electronic ID documents. For over 25 years, Infineon has developed innovative solutions in the area of hardware-based security and has been a global market leader for 15 consecutive years. For more information about chip cards and security solutions at Infineon, please go to: www.infineon.com/chip-card-and-security

About Infineon Infineon Technologies AG, Neubiberg, Germany, offers semiconductor and system solutions addressing three central challenges to modern society: energy efficiency, mobility, and security. In the 2012 fiscal year (ending September 30), the Company reported sales of Euro 3.9 billion with close to 26,700 employees worldwide. Infineon is listed on the Frankfurt Stock Exchange (ticker symbol: IFX) and in the USA on the over-the-counter market OTCQX International Premier (ticker symbol: IFNNY). Further information is available at www.infineon.com.