Press Release

Entropic Communications Reports Inducement Grants Under NASDAQ Listing Rule 5635(c)(4)

SAN DIEGO, May 10, 2012 (GLOBE NEWSWIRE) -- Entropic Communications, Inc. (Nasdaq:ENTR), a world leader in semiconductor solutions for the connected home, announced today that on May 7, 2012, the Compensation Committee of its Board of Directors approved the grant under its 2012 Inducement Award Plan (the "Plan") of 1,343,725 restricted stock units ("RSUs") to 284 newly hired non-executive employees in connection with Entropic's previously-announced acquisition of assets from Trident Microsystems. Of the 1,343,725 RSUs granted, 936,125 will vest in equal annual installments over a four-year period from the grant date. The remaining 407,600 RSUs will become fully vested after the one-year anniversary of the grant date. All vesting is subject to the continued service relationship of the employee with Entropic and each award has a ten year term and is subject to the terms and conditions of the RSU agreement pursuant to which the RSU was granted.

In addition, also in connection with the acquisition of assets of Trident Microsystems, Mr. Mark Samuel, senior vice president, Set-Top Box Business Unit, was granted a stock option to purchase 192,000 shares of common stock and 81,200 RSUs under the Plan. The stock option has an exercise price per share equal to $3.74, the fair market value of Entropic's common stock on the grant date, and vests over four years, with 25 percent of the shares subject to the stock option vesting on the one-year anniversary of the grant date and the remainder of the shares vesting in equal monthly installments over the 36-months thereafter. Of the RSUs awarded to Mr. Samuel, 51,200 shall vest in equal annual installments over a four-year period from the grant date, and the remaining 30,000 will become fully vested after the one-year anniversary of the grant date. Vesting for both the stock option and RSUs is subject to Mr. Samuel's continued service relationship with Entropic and each award has a 10-year term and is subject to the terms and conditions of the stock option and RSU agreements pursuant to which they were granted.

Each of these RSUs and stock options were granted as inducements material to the new employees entering into employment with Entropic in accordance with NASDAQ Listing Rule 5635(c)(4).

About Entropic Communications

Entropic Communications, Inc. (Nasdaq:ENTR) is a leading global provider of silicon and software solutions to enable connected home entertainment. The Company transforms how traditional HDTV broadcast and streaming video content is seamlessly, reliably, and securely delivered, processed, and distributed into and throughout the home. Entropic's next-generation home connectivity and set-top box system-on-a-chip (SoC) solutions enable Pay-TV service providers to offer consumers a more captivating whole-home entertainment experience by delivering new, high-performing ways to connect, engage, and enjoy multimedia content. For more information, visit Entropic at: www.entropic.com.

CONTACT: Investor Contact:
         Debra Hart
         +1 858.768.3852
         debra.hart@entropic.com

         Media/Industry Analyst Contact:
         Chris Fallon
         +1 858.768.3827
         chris.fallon@entropic.com

Entropic Communications