Mecel and Infineon Technologies Offer Bluetooth Solutions To Expand Networked Automotive Systems

    MUNICH, Germany and GOTHENBURG, Sweden, July 17 Infineon
Technologies AG and Mecel AB today announced a strategic co-
operation agreement to jointly provide Bluetooth short-range communication
system solutions for automotive infotainment platforms.  Under this agreement,
Mecel will adapt its Bluetooth software package, "Mecel Bluetooth SDK," with
Infineon's family of Bluetooth chipsets, BlueMoon(TM) and both companies will
provide the resulting complete solution to the automotive industry.
Additionally, Mecel will offer advanced software engineering services for
customer-specific applications.  The combined Infineon/Mecel solution targets
applications such as hands-free telephony, vehicle diagnostics, and mobile
Internet access.
    "Bluetooth is expected to play a substantial role connecting vehicle
systems both within internal vehicle networks, and, to the Internet," said
Kent Eric Lang, Managing Director at Mecel.  "This complete system solution is
in direct response to increased demand from the automotive industry.  Mecel's
pioneering software and Infineon's leadership in semiconductor solutions for
wireless and automotive environments created a winning combination."
    "This partnership emphasizes Infineon's commitment to provide automotive
systems OEM customers with reliable, easy-to-integrate and cost-effective
system solutions to allow implementation of leading-edge communications
technologies into existing platforms," said Dr. Reinhard Ploss, senior vice
president and general manager of the Automotive & Industrial business group at
Infineon Technologies.  "Mecel's software expertise combined with Infineon's
proven wireless and automotive know-how will enable customers to concentrate
on their strategic core competencies while offering leading edge communication
solutions."

    Infineon's BlueMoon family
    With the BlueMoon chip family, Infineon offers the industry's broadest
Bluetooth semiconductor solutions portfolio.  The BlueMoon family includes the
high-performance BlueMoon One; the BlueMoon Single, enabling compact design;
the BlueMoon Multimedia, offering high throughput through its integrated USB
interface and software API (Application Programmers Interface); and, the core
IP of BlueStar designed for integration in application specific integrated
circuits (ASICs).  The BlueMoon family also incorporates efficient and highly
integrated Bluetooth power amplifiers for long range class 1 operation.
    Further information is available at http://www.infineon.com/Bluetooth

    About Mecel
    Mecel AB, a subsidiary of Delphi Automotive, with operations in Gothenburg
and Amal, Sweden, is a systems, software and service development company with
more than 15 years experience in developing communication solutions for the
automotive industry.  With expertise in both on-board application platforms
(WinCE, JAVA, embedded systems), communication concepts (CAN, MOST, Bluetooth,
GSM), and off-board service development, Mecel can with its 160 employees
manage all kinds of systems and software development programs.
    Mecel joined the Bluetooth SIG already in May 1998, and is now an
associate member.
    Mecel Bluetooth SDK has been BQB-qualified and it is characterized by its
robustness, resource efficiency and portability.
    Further information about Mecel and the Mecel Bluetooth SDK (incl.
demo. kit and full documentation) at http://www.mecel.se .

    About Infineon
    Infineon Technologies AG, Munich, Germany, offers semiconductor and system
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 US from San Jose, CA, in the Asia-Pacific region from
Singapore and in Japan from Tokyo.  In the fiscal year 2000 (ending
September), the company booked sales of Euro 7.28 billion with about 29,000
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 http://www.infineon.com .

    * Bluetooth is a trademark owned by its proprietor and used by Infineon
Technologies and Mecel under license.

    BlueMoon(TM) is a trademark of Infineon Technologies AG

    This news release is available online at http://www.infineon.com/news and
http://www.mecel.se/news