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U.S. District Court Enters Patent Infringement Final Judgment Against Mobile 365, Inc. in Favor of TeleCommunication Systems, Inc.

Tuesday, April 07, 2009

Annapolis, MD -- TeleCommunication Systems, Inc. (TCS) (Nasdaq: TSYS), a leading provider of wireless communications technology today announced that the U.S. District Court for the Eastern District of Virginia has entered final judgment in the Inter-Carrier Messaging patent infringement case against Mobile 365, Inc. (now known as Sybase 365).

Judgment was entered against Sybase 365 that it has infringed U.S. Patent No. 6,985,748, the patent is not invalid, and Sybase 365 must pay approximately $12M in damages, which includes past damages through May 2007 based on a 12 percent post-issuance royalty. The final judgment does not account for any continued infringement by Sybase 365 after the May 2007 jury verdict. Accounting for any damages arising after the jury verdict will be addressed later by the Court, based on the outcome of any appeal in the case.

The Court also permanently enjoined and restrained Sybase 365 (and Sybase, Inc.) from further infringement. The award of damages and the permanent injunction against Sybase 365 are stayed pending appeals and further order of the court.

The case was originally filed on July 12, 2006, against Mobile 365 (now Sybase 365, a subsidiary of Sybase Inc.) for infringement related to U.S. patent No. 6,985,748, Inter-Carrier Short Messaging Service Providing Phone Number Only Experience ("the '748 patent"), issued to TCS. U.S. Patent No. 7,430,425, which shares the same priority date as the '748 patent, issued on September 30, 2008 adding claims describing a method for inter-carrier digital message with user data payload messaging, and on November 26, 2008 U.S. Patent No. 6,658,260, which is the original patent issued on which the '748 patent is based, was allowed for reissuance.

About TeleCommunication Systems, Inc. (TCS)

TeleCommunication Systems, Inc. (TCS) (Nasdaq: TSYS) engineers and delivers highly reliable wireless communications technology. TCS is a leader in wireless text messaging and location-based technology, including E9-1-1 services and commercial applications like navigation that use the precise location of a wireless device, and secure satellite-based communications systems and services. Customers include leading wireless and VoIP carriers around the world, cable MSOs, automotive telematics vendors, and agencies of the U.S. Departments of Defense, State, and Homeland Security. TCS is one of six primary vendors on a $5 billion Army Worldwide Satellite Systems Contract vehicle. For more information, visit

Except for the historical information contained herein, this news release contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. These statements are subject to risks and uncertainties and are based upon TCS' current expectations and assumptions that if incorrect would cause actual results to differ materially from those anticipated. Risks include without limitation those detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended December 31, 2008.

Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to update or revise the information in this press release, whether as a result of new information, future events or circumstances, or otherwise.

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