Infineon Technologies, PacketVideo and sci-worx Deliver Mobile Multimedia to Next Generation Wireless Handsets

MUNICH, HANNOVER, Germany & SAN DIEGO--(BUSINESS WIRE)--Feb. 13, 2002--Building on existing investment relationships, Infineon Technologies (FSE/NYSE:IFX), a leading provider of wireless semiconductor solutions, PacketVideo Corp. and sci-worx, a leading provider of intellectual property cores, today announced a technology integration alliance that will offer mobile users of GPRS and UMTS devices the richness of sight, sound, animation and moving pictures.

Under the agreement, PacketVideo's standards compliant mobilemedia software, pvPlayer(TM), pvAuthor(TM) and pv2WAY(TM) respectively, as well as sci-worx video acceleration technology, will be tightly integrated into a variety of Infineon's future mobile Internet modem and application processor solutions, including the S- and M-GOLD family, for next generation mobile handsets.

This co-operation will provide wireless terminal manufacturers with comprehensive end-to-end-solutions including multimedia content encoding, distribution, transmission and decoding allowing the fast and reliable development of next generation media-enabled mobile phones for faster time-to-market.

According to the ARC Group, global sales of mobile phones incorporating streaming video capability is going to exceed 90 million units in 2005, growing to more than 150 million units in 2006.

"Our alliance with PacketVideo and sci-worx supports Infineon's mission to provide our customers with sophisticated solutions for the wireless market," said Ulrich Hamann, CEO of the Business Group Wireless Solutions at Infineon Technologies. "The integration of PacketVideo's multimedia software and sci-worx hardware accelerators into our wireless chip offerings will enhance next generation mobile devices with full featured multimedia services."

Infineon's Wireless Solutions Group develops, produces and markets semiconductors and complete-system-solutions for a variety of mobile applications. The company is a leading provider of wireless solutions and a world leader in technology for the future mobile radio standard UMTS.

PacketVideo's pvPlayer, pvAuthor and pv2WAY software have been ported to and optimized for Infineon's first multimedia application processor demonstrator. PacketVideo's video encoder and decoder software solutions take full advantage of sci-worx hardware accelerator modules. The hardware accelerators have been developed by sci-worx, in close co-operation with Infineon, focusing especially on low power consumption, power management and off-loading the processor core from compute intensive tasks. The accelerators are available for open licensing as MPEG-4 DesignObjects(TM) Family from sci-worx.

"We are pleased to provide the multimedia software platform for Infineon's commercially proven wireless communications semiconductor solutions," said Kathleen Peters, vice president of worldwide embedded solutions for PacketVideo. "The combination of Infineon's system design and integration experience with our leading software platform enables a broad range of advanced mobile applications providing information, communication and entertainment services."

PacketVideo's leading end-to-end multimedia solution is a standards-compliant end-to-end system that comprises encoding, transmission and decoding software products that enable the delivery of audio, video, branded content and applications to mobile devices. PacketVideo's products are compliant with standards and specifications from 3GPP, 3GPP2, MPEG-4, WAP, IETF and other global standards organizations and technical forums.

About Infineon

Infineon Technologies AG, Munich, Germany, offers semiconductor and customized solutions for applications in the wired and wireless communications markets, for security systems and smartcards, for the automotive and industrial sectors, as well as memory products. With a global presence, Infineon operates in the U.S. from San Jose, Calif., in the Asia-Pacific region from Singapore and in Japan from Tokyo. In the fiscal year 2001 (ending September), the company achieved sales of Euro 5.67 billion with about 33,800 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.

About PacketVideo

PacketVideo is the world's leading provider of carrier class infrastructure software that enables mobilemedia today. PacketVideo's standards-based software products enable the distribution of one- and two-way video, high-quality audio, animation and rich graphics over wireless networks to mobile devices such as cellular telephones and personal digital assistants. PacketVideo's mobilemedia products enhance communication, productivity, security, information and entertainment, enabling the delivery of an enriching and productive mobile experience.

PacketVideo's investors include AOL Time Warner (NYSE:AOL - news), Comverse Technology (Nasdaq:CMVT - news), Credit Suisse First Boston, GE Equity (NYSE:GE - news), Infineon Technologies (NYSE:IFX - news), Intel Capital (Nasdaq:INTC - news), Kyocera (NYSE:KYO - news), Motorola (NYSE:MOT - news), Philips (NYSE:PHG - news), QUALCOMM (Nasdaq:QCOM - news), Siemens' Mustang Ventures, Sony Corporation of America (NYSE:SNE - news), Sun Microsystems (Nasdaq:SUNW - news), Texas Instruments (NYSE:TXN - news), and others. To learn more, visit www.pv.com.

About sci-worx

sci-worx, Europe's leading intellectual property and design service provider for multimedia, networking, telecommunications and security, is a leading microelectronics technology licensing and design company with a library of over 65 soft cores. sci-worx DesignObjects(TM) (synthesizable ASIC cores) come to the market as off-the-shelf solutions, thus reducing time-to-market and risk for new IC products and applications. Also, sci-worx core verification program ensures high quality and performance of all DesignObjects(TM).

sci-worx complements its DesignObjects(TM) with a comprehensive suite of design services including system integration and software development, as well as system and IP validation. All this is based on mature application know-how and numerous years of design experience. Visit the Web site at www.sci-worx.com.

PacketVideo and PacketVideo product names are trademarks or registered trademarks of PacketVideo Corp. All other trade names and trademarks are the property of their holders.

Contact:
     Infineon
     Gunter Gaugler, +49 89 234 28481
     guenter.gaugler@infineon.com
           or
     Dr. Haffa & Partner (for PacketVideo)
     Florian Schleicher, +49 89 99 31 9128
     florian.schleicher@haffapartner.de
           or
     sci-worx
     Lars Wemme, +49 511 277-1625
     lars.wemme@sci-worx.com