Icera Soft Modem Selected for Vodafone 14.4 HSPA USB Stick

IceClear(TM) Interference-Aware Technology in Vodafone's K3805-Z USB Stick Boosts Mobile Broadband Reliability and Connection Speeds for Vodafone Customers

BRISTOL, England, May 25, 2010 - Icera Inc., the Mobile Broadband semiconductor company, today
announced that its Livanto(R) chipset and Adaptive Wireless(TM) technology is
at the heart of Vodafone's latest mobile broadband USB stick, the Vodafone
K3805-Z.

Offering a high speed mobile broadband connection with
theoretical peak downlink rates of up to 14.4 Mbps HSPA in optimal
conditions, the Vodafone K3805-Z is the world's first USB modem to
incorporate Icera's IceClear(TM) interference-aware technology. IceClear(TM)
uses sophisticated signal processing algorithms implemented in software to
cancel the effect of interference from other cells, potentially delivering up
to triple the previous average connection speeds for Vodafone customers in
weaker signal areas and improving network efficiency and reliability.

Ralf Elias, Head of Global Product Management and Innovation
at Vodafone Group, commented: "Our aim is to provide our customers with a
best-in-class experience of services through Vodafone's high-speed mobile
broadband network and we track and selectively collaborate on innovative
technologies with cellular chipset partners to achieve this. Icera's unique
soft modem technology, including the latest IceClear(TM) interference aware
receiver, shows how this directly benefits our customers' experience."

Stan Boland, President & CEO of Icera Inc., said:
"Interference-aware receiver technology has been known to achieve substantial
user throughput and cell capacity gains for some time, but until now has been
prohibitively complex and expensive to implement. The advantage of
IceClear(TM), to manufacturers, operators and customers, is to deliver this
technology in software at no additional silicon cost. Users will notice the
difference for sure and we're thrilled to have Vodafone as a launch
operator."

Vodafone's K3805-Z will be available from Vodafone across
Europe and selected African countries.

About IceClear(TM)

IceClear(TM) provides material gains in user throughput right
across the cell site but with particularly high gains towards the cell edge.
In representative tests, IceClear(TM) increases the throughput by a factor of
up to 3.6 times.

Until now, the mobile broadband user experience has tapered
from the high rates achieved when the user is close to the base station, to
much lower data speeds at the cell edge. Previously, the data throughput has
been further limited at the cell edge due to interference from signals
transmitted by adjacent cell sites.

The use of traditional equalizer and diversity technology in
mobile broadband chipsets materially improved user data rates compared with
earlier rake receiver systems, however data rates remained poor at the cell
edge in loaded networks. Hardware-based methods of cancelling the dominant
interference sources require additional complex and silicon-hungry signal
processing algorithms. For these cost and complexity reasons, no other
mainstream HSPA chipsets have delivered interference cancellation
technologies in production products to date.

Unlike any other baseband technology, Icera's Adaptive
Wireless(TM) executes the entire modem in software on a specific high
performance processor. This approach produces a unique flexibility to develop
and implement advanced algorithms, which can adapt dynamically to specific
channel conditions, in software, without the need to add any extra silicon
blocks to the chip.

IceClear(TM) is included in the latest version of Icera's
Adaptive Wireless(TM) soft modem providing a significant enhancement to
customers with what is already independently recognized as the industry's
top-performing HSPA mobile broadband technology.

About Icera

Icera is a fabless semiconductor company, pioneering high
performance, low power, soft modem chipsets for the fast growing mobile
broadband device market. Icera technology delivers the highest performance
modem solutions for USB dongles, datacards, laptops, mobile internet devices
and smartphones. Founded in 2002, Icera is headquartered in the UK, with
design locations in the UK, France, North America and China, with customer
engineering and sales offices in Europe, Asia and the US. For more
information, visit the Icera web site at www.icerasemi.com.

Media contact: Sally Doherty, Icera Inc., Tel: +44-1454-284859, Email: sally at icerasemi.com .