NUREMBERG, GERMANY to deliver ubiquitous access and personalized applications and services over wireless devices, such as mobile phones and personal digital assistants (PDAs).

TerreStar plans to deploy its network in early 2009 and operate as a carrier's carrier providing integrated next-generation terrestrial and satellite mobility services to communications service providers as well as enterprise and government entities. Comneon's ability to provide a portable IMS terminal framework, executable across a wide variety of operating systems and processor architectures, allows TerreStar to provide increased value, through a large number of terminal types, for such diverse customer segments.

Comneon will provide a reference IMS client to support TerreStar's field trials, as well as the IMS production client that will offer a user experience far beyond today's standards.

"Comneon's unique qualifications meet our requirements for a state-of-the-art IMS client performance and feature-set and builds on our ecosystem of industry leading companies helping TerreStar deliver on our 'build, own and operate strategy' for creating North America's first 4G integrated mobile satellite and wireless communications network," said Dennis Matheson, Chief Technology Officer at TerreStar. "By combining our two unique solutions, we can help bring an all-IP framework to the wireless domain and create a network that truly redefines mobile communications."

"TerreStar is a true technology innovator and we are excited to be part of this first-of-a-kind project and TerreStar's future mobile terminals," said Christian Mucke, Managing Director of Comneon. "Comneon's leadership and experience in mobile software solutions, innovation and operational capabilities will help enable TerreStar to deploy the first integrated satellite and terrestrial broadband network. This will help bring ubiquitous IP applications and services to mobile customers in North America."

About Comneon

Comneon is a leading supplier of protocol stack software for mobile communications. Comneon licenses its software to a wide range of customers, including large and small semiconductor companies, established network operators, and some of the leading mobile terminal manufacturers. As a fully owned subsidiary of Infineon Technologies AG (FRANKFURT: IFX) (NYSE: IFX), COMNEON also provides software for Infineon's mobile phone platforms.

Further information is available at www.comneon.com.

About TerreStar Networks Inc.

TerreStar (www.terrestar.com), a majority owned subsidiary of TerreStar Corporation (NASDAQ: TSTR), plans to build, own and operate North America's first 4G integrated mobile satellite and terrestrial communications network that will provide universal access and tailored applications throughout North America over conventional wireless devices. TerreStar expects to be the first to offer customer-designed products and applications over a fully optimized 4G IP network.

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Contact: Christoph von Schierst�dt +49 89 234 22984 vonschierstaedt@infineon.com

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