Infineon Firmly Expands Its No. 1 Global Market Position in Power Applications and Again Outperforms the Power Electronics Market

Neubiberg, Germany – August 17, 2009 – Infineon Technologies AG (FSE: IFX / OTCQX: IFNNY) retained and further expanded its global number one market position in semiconductor discretes and modules for power electronics for the sixth year in a row. According to IMS Research’s 2009 report “ The World Market for Power Semiconductor Discretes & Modules” the global market for these devices grew by 1.5 percent in 2008, to US $13.96 billion (from US $13.76 billion in 2007), whereas Infineon grew by 7.8 percent. Infineon now commands 10.2 percent of that market, with its nearest competitor holding 6.8 percent. Infineon also continues to lead in the EMEA region (Europe, Middle East, Africa) and the Americas capturing 22.8 percent and 11.2 percent share, respectively, in these regions.

With demand for increased energy efficiency in motor vehicles, consumer and industrial applications and growth in the traction and renewable energy segments, Infineon is determined to further build its power semiconductor discretes and power modules sales. For the renewable energy sector market research firm IMS Research anticipates a five-year CAGR (Compound Annual Growth Rate) of 18.2 percent with wind power and solar power installations being the main drivers. Infineon’s discrete IGBTs and MOSFETs help raise solar inverters’ efficiency above 98 percent and feed as much of solar-based electricity into the power grid as possible. Using the latest chip technologies in Infineon’s power modules PrimePACK™ and IHM for up to 6 Megawatts and the Econo modules for less than one Megawatt, Infineon products also increase reliability and durability of wind turbines.

“We are proud to maintain and build our number one market position. Power semiconductors play a central role in global efforts to improve energy efficiency in automotive and industrial applications, and to help improve the utilisation of electrical energy in home appliances”, said Arunjai Mittal, Division President of the Industrial & Multimarket Division at Infineon Technologies AG. “Building on nearly 60 years of experience in the field of power semiconductors, Infineon will continue innovation focusing on best price-performance ratios at system level, enabling system miniaturization and lowest system costs”.

Recently, Infineon has announced co-operations with Robert Bosch GmbH for power semiconductors and Korean-headquartered LS Industrial Systems Co., Ltd. for its CIPOS™ modules. The cooperation with Bosch aims to improve energy efficiency of power electronic systems in, but not limited to, electric vehicles, while the cooperation with LS Industrial Systems relates to white goods in the promising markets for ”green” household appliances manufactured in Asia.

Efficient use of electrical energy is recognized as the best overall approach to achieving global efficiency and carbon reduction goals. Infineon’s power semiconductor discretes and modules minimize power dissipation and maximize energy efficiency throughout the entire value chain from energy generation and distribution to consumption. Enhanced efficiency in management of electrical power provides a huge potential for energy saving in electrical motor drives, power supplies, computing equipment, consumer products, lighting equipment as well as in cars where power semiconductors are a key component to improve fuel efficiency and safety.

For more information about Infineon’s power product portfolio, please visit www.infineon.com/power

About IMS Research

IMS Research is a supplier of market research and consultancy services on a wide range of global electronics markets. The company is supported by offices in Wellingborough, UK, and offices in Austin, Texas and Shanghai, China. IMS Research regularly publishes detailed research on power electronics markets such as renewable energy, power supplies, power semiconductors and UPS among many others. Further information is available at www.imsresearch.com

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 (ticker symbol: IFX) and in the USA on the over-the-counter market OTCQX International Premier (ticker symbol: IFNNY).