Infineon Buys TI Unit

NEUBIBERG, Germany -- Infineon Technologies (FSE/NYSE: IFX)today announced the planned acquisition of Texas Instruments' DSL CustomerPremises Equipment (CPE) business. The transaction is expected to close inthe summer of 2007.

Texas Instruments is a well-established provider of DSL CPE products withfield deployments at major carriers worldwide. "Combining Texas Instruments'DSL CPE products with Infineon's innovative roadmap leads to a uniqueend-to-end offering for DSL customers," said Prof. Dr. Hermann Eul,Executive Vice President of the Infineon Management Board and President ofthe Communication Solutions business group.

Infineon plans to continue supporting Texas Instruments' product portfolioand existing customer designs while leveraging the acquired experience infuture product generations.

"We recognize Infineon's strong commitment to the DSL business. Thistransaction gives our customers continuity of the product line, continuityof customer support and a strong DSL roadmap," said Dennis Rauschmayer,General Manager of TI's Residential Gateway business. "TI is fully committedto support the transition of the business and the customer servicetransition to Infineon, ensuring a positive customer experience."

Infineon Technologies AG (NYSE/Frankfurt: IFX)