TCS’ Leading Wireless Messaging Products Support Explosive Growth of Messaging Industry

ANNAPOLIS, MD–(EMWNews – July 29, 2008) – TeleCommunication Systems, Inc. (TCS)

(NASDAQ: TSYS), a leading provider of mission-critical wireless

communications, today announced that the company has delivered a record 80

billion text messages across the U.S. during the first six months of 2008,

equaling the total messages sent by the company in all of 2007. The record

growth in text messaging nationwide is compelling carriers to increase

their wireless messaging offerings and capacity. According to the Cellular

Telecommunications and Internet Association (CTIA), SMS (Short Message

Service) text messaging in the United States more than doubled over the

last year. TCS technology was responsible for approximately 25 percent of

the CTIA-reported total U.S. 363 billion messages sent in 2007. This growth

represents a 130 percent increase over the 158 billion messages sent in the

U.S. in 2006.

CTIA also reported revenues from wireless data services were up more than

52 percent in 2007 to more than $23.2 billion, up from $15.2 billion in

2006. This growth is expected to continue with analysts forecasting an

eightfold increase in text messaging volume by 2014, fueled by intercarrier

messaging, televoting and unlimited in-network text messaging plans. SMS

has evolved into a multifaceted application that continues to expand the

revenue possibilities for network operators and carriers. TCS messaging

solutions bring carriers new sources of revenue, enable intercarrier

messaging and keep carriers in control of their networks and customers,

particularly during significant spikes in wireless traffic.

TCS provides software to U.S. wireless carriers for text messaging, and

earns revenue from perpetual licenses, customization, feature enhancements

and software maintenance. TCS SMS systems include its Short Message Service

Center (SMSC) platform and related Wireless Intelligent Gateway (WIG),

which has both messaging and Location-Based services (LBS) functions.

“Carriers are investing in new platforms and value-add service offerings as

they continue to experience and forecast exponential growth for text

messaging,” said Drew Morin, TCS Chief Technology Officer and Senior Vice

President. “TCS is a trusted partner to many leading wireless carriers and

one of the few companies in the industry that holds multiple messaging and

location patents, enabling carriers to deliver enhanced messaging services

and location relevant mobile applications to their users on both a hosted

and in-network basis.”

About TeleCommunication Systems, Inc.

TeleCommunication Systems, Inc. (TCS) (NASDAQ: TSYS) produces wireless data

communications technology solutions that require proven high levels of

reliability. TCS provides wireless and VoIP E9-1-1 network-based services,

secure deployable communication systems, engineered satellite-based

services, and commercial location applications, like traffic and

navigation, using the precise location of a wireless device. Customers

include leading wireless, cable MSOs, and VoIP carriers around the world,

and agencies of the U.S. Departments of Defense, State, and Homeland

Security. For more information, visit www.telecomsys.com.

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. Statements in this release that are forward-looking

include the prospect that long-term customers will continue to purchase

SMS license capacity from TCS, that wireless messaging services will

continue to grow at a fast pace, that TCS will continue to participate in

the messaging services revenue growth experienced by carriers, and those

risks detailed from time to time in the Company’s SEC reports, including

the report on Form 10-K for the year ended December 31, 2007, and Form 10-Q

for the quarter ended March 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.