Infineon, SkyTerra and TerreStar Announce Agreement to Develop the World’s First Satellite-Cellular Mobile Platform Based on SDR Technology

Technology is Breakthrough for Mass-Market and Feature-Rich Multi-Mode Handsets

CTIA WIRELESS 2009 -- Las Vegas, Nevada, USA -- April 2, 2009, – Infineon Technologies, SkyTerra, and TerreStar Networks today jointly announced the world’s first multi-standard mobile platform based on Infineon’s innovative software-defined-radio (SDR) technology. SkyTerra and TerreStar are both developing next-generation integrated satellite-terrestrial communications networks.

This groundbreaking technology will enable ubiquitous mobile communications coverage from anywhere in North America using mass-market devices costing about the same as terrestrial cellular-only devices. SDR-enabled satellite-terrestrial handsets will operate with multiple cellular and satellite-based communications technologies including GSM, GPRS, EDGE, WCDMA, HSDPA, HSUPA and GMR1-2G/3G.

“We are very happy to contribute our innovative SDR technology to this exciting new application of integrated satellite-terrestrial mobile devices in both SkyTerra’s and TerreStar’s networks,” said Ronen Ben-Hamou, Vice President and General Manager of Software Defined Radio mobile platforms in the Wireless Division of Infineon. “Together with our partners we leverage the flexibility and efficiency of our SDR technology into this ‘connected-anywhere’ mobile environment, enabling operators to provide very compelling multi-standard communication devices to even the most demanding end users.”

“We are very pleased to work with Infineon on the development of an SDR-based chipset platform,” said Drew Caplan, Chief Network Officer for SkyTerra. “With this agreement, we are taking another significant step toward making combined satellite-terrestrial communications a reality for consumers, enterprise, government and public safety users. We anticipate that this SDR chipset agreement will expand our market opportunities as well as the range of technologies and potential devices that will be satellite-terrestrial capable, providing consumers with additional cost-effective purchase options.”

Dennis Matheson, Chief Technology Officer at TerreStar, added: “The Infineon SDR chipset is a tremendous addition to our chipset program and greatly expands the universe of devices that will be satellite enabled. In addition, the programmable nature of SDR technology allows for feature upgrades via software and shortest-ever turn-around times for next–generation products. We look forward to using this chipset platform to perform additional handset trials on our evolving 4G network.”

To enable satellite connectivity in the SDR platform, Infineon will integrate GMR1-3G technology furnished by Hughes Network Systems, a market leader for mobile satellite solutions.

About the XMM™ SDR 200

Infineon’s SDR mobile platform, called XMM SDR 200, requires only one single baseband device, the X-GOLD™ SDR 20 and one single RF transceiver, a member of Infineon’s leading SMARTi™ family. As X-GOLD SDR 20 also includes all power management functions on-chip, less than half the number of key components are needed compared to previous modem solutions. This platform enables satellite-terrestrial terminals in a small form factor comparable to today’s cellular-only mobile phones. The XMM SDR 200 is an extremely cost- and energy-efficient solution, requiring only one dedicated chipset for the two distinct standards. With this platform, Infineon once again demonstrates its capability to provide semiconductor solutions that connect people and increase energy efficiency in electronic devices. First platform samples will be available in Q3 of 2009.

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).

About SkyTerra Communications (www.skyterra.com)

SkyTerra Communications (OTCBB: SKYT) delivers mobile wireless voice and data services primarily for public safety, security, fleet management and asset tracking in the U.S. and Canada. The company’s next-generation integrated satellite-terrestrial communications network is expected to provide seamless, transparent and ubiquitous wireless coverage of the United States and Canada to conventional handsets. When completed, the network will support communications in a variety of market segments, including public safety, homeland security, telematics, transportation and entertainment, by providing a platform for interoperable, user-friendly and feature-rich voice and high-speed data services.

About TerreStar Networks Inc.

TerreStar Networks (www.terrestar.com), a majority owned subsidiary of TerreStar Corporation (NASDAQ: TSTR), plans to offer a reliable and secure satellite terrestrial mobile broadband network that will provide voice, data and video services dedicated to helping solve the critical communication and business continuity challenges faced by government, emergency responders, enterprise businesses and rural communities. TerreStar expects to offer next generation mobile communications through a network of partners and service providers to users who need "anywhere" coverage throughout the United States and Canada.