Samsung Electronics Partners With XM Satellite Radio to Offer Samsung's First MP3 Players With XM Satellite Radio

Samsung Electronics Partners With XM Satellite Radio to Offer Samsung's First MP3 Players With XM Satellite Radio

RIDGEFIELD PARK, N.J. and WASHINGTON, July 26 /PRNewswire-FirstCall/ -- Samsung Electronics Co. Ltd., a leading global manufacturer of consumer electronics products, today announced a strategic alliance with XM Satellite Radio to introduce its first MP3 players with XM Satellite Radio capability.

(Logo: http://www.newscom.com/cgi-bin/prnh/20000724/XMSATLOGO )

The relationship entails the production of two miniature flash memory Samsung players that will utilize XM's Connect-and-Play technology. Both players will come with an XM Radio home accessory kit, which allows the device to receive XM's 150-plus radio channels of commercial-free music, plus news, talk and entertainment programming, in the home. Samsung's new players will be available in two storage capacity sizes and are anticipated to be available by year's end.

The alliance will combine the capabilities of downloading digital audio music with XM Satellite Radio's critically-acclaimed line-up of commercial- free music and premier sports, news, and talk radio channels. When the players are connected to a home or car docking station, users will be able to store digital audio content available on XM. The recorded content can be played anywhere, allowing subscribers to enjoy XM programming in places where the XM signal may not be available, such as the subway. In addition, the Samsung players enable the end user to store songs from his or her personal digital music collection, including digital music files (MP3 files and .wma files) purchased from a variety of digital music services.

XM Satellite Radio allows subscribers to discover and rediscover music. Using the Samsung XM/digital audio players, XM subscribers can identify selected songs heard on the XM Satellite Radio service for purchase through a music downloading service. The Samsung players also allow users to create and manage customized playlists, combining both personal digital music files and recorded XM programming.

"Samsung is known for its award-winning line of digital audio players, and we are proud to take the next step with them in the evolution of portable XM Satellite Radio products. Now, consumers can enjoy XM's live programming plus music from their personal digital music collections in one easy-to-use, elegant player," said Hugh Panero, President and CEO of XM Satellite Radio.

"Samsung's innovation and quality standards are world renowned and these products represent our latest breakthrough into satellite radio technology," said D.J Oh, President and CEO of SEA. "XM's award-winning programming and technology provide us with a unique opportunity to offer products that empower consumers and fundamentally change the way people listen to music."

About Samsung Electronics America, Inc.

Headquartered in Ridgefield Park, NJ, Samsung Electronics America, Inc. (SEA), a wholly owned subsidiary of Samsung Electronics Co. Ltd., markets a broad range of award-winning, advanced digital consumer electronics, information systems and home appliance products. The SEA organization oversees the North American operations of Samsung including Samsung Telecommunications America, LP, Samsung Electronics Canada, Inc. and Samsung Electronics Mexico, Inc. Please visit http://www.samsung.com/ for more information.

About Samsung Electronics

Samsung Electronics Co., Ltd. is a global leader in semiconductor, telecommunication, digital media and digital convergence technologies with 2004 parent company sales of US$55.2 billion and net income of US$10.3 billion. Employing approximately 113,000 people in over 90 offices in 48 countries, the company consists of five main business units: Digital Appliance Business, Digital Media Business, LCD Business, Semiconductor Business and Telecommunication Network Business. Recognized as one of the fastest growing brands, Samsung Electronics is the world's largest producer of color monitors, color TVs, memory chips and TFT-LCDs. For more information, please visit http://www.samsung.com/.

About XM Satellite Radio

XM Satellite Radio (NASDAQ:XMSR) is America's number one satellite radio service with more than 4.4 million subscribers. Broadcasting live daily from studios in Washington, D.C., New York City and Nashville at the Country Music Hall of Fame, XM's 2005 lineup includes more than 150 digital channels of choice from coast to coast: the most commercial-free music channels, plus premier sports, talk, comedy, children's and entertainment programming; and 21 channels of the most advanced traffic and weather information. XM was named Best Radio Service at the 2004 Billboard Digital Entertainment Awards.

XM, the leader in satellite-delivered entertainment and data services for the automobile market through partnerships with General Motors, Honda, Toyota, Hyundai, Nissan and Volkswagen/Audi, is available in more than 120 different vehicle models for 2005. XM's industry-leading products are available at consumer electronics retailers nationwide. For more information about XM hardware, programming and partnerships, please visit http://www.xmradio.com/.

Factors that could cause actual results to differ materially from those in the forward-looking statements in this press release include demand for XM Satellite Radio's service, the Company's dependence on technology and third party vendors, its potential need for additional financing, as well as other risks described in XM Satellite Radio Holdings Inc.'s Form 10-K filed with the Securities and Exchange Commission on 3-4-05. Copies of the filing are available upon request from XM Radio's Investor Relations Department.

Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/20000724/XMSATLOGO AP Archive: http://photoarchive.ap.org/ PRN Photo Desk photodesk@prnewswire.com Source: XM Satellite Radio

CONTACT: Chance Patterson of XM Satellite Radio, +1-202-380-4318, chance.patterson@xmradio.com; or Jose Cardona of Samsung Electronics America, Inc., +1-201-229-4118, J.Cardona@Samsung.com

Web site: http://www.xmradio.com/ http://www.samsung.com/

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