Great Falls, VA - April 29, 2005 - VMC Satellite, the nation's leading online retailer of DISH Network satellite TV systems, today announced that it has been acquired by InPhonic, Inc. (Nasdaq: INPC), a leading online seller of wireless services and products. The acquisition will enable InPhonic to expand its service offering, creating additional revenue opportunities from the over twelve million consumers that visit its portfolio of Web sites and marketing partners each month, while allowing VMC to continue to grow its business with the resources and expertise of InPhonic.

The acquisition of VMC enables InPhonic to integrate a complementary service offering that will strengthen InPhonic's position as a leader in the growing market for online customer contract acquisition. This acquisition combines InPhonic's market leading position in online customer acquisition for the wireless industry with that of VMC's leadership in digital broadcast satellite. InPhonic also believes it will be able to combine its expansive online marketing channels along with VMC's 170,000 affiliates to sell wireless services to a broader online audience.

"The acquisition of VMC Satellite will strengthen InPhonic's brand portfolio and allows us to leverage our e-commerce platform in a horizontal direction with a new product offering for the first time," said InPhonic Chairman and CEO David A. Steinberg. "VMC allows InPhonic to offer the millions of visitors we attract each month to our Web sites additional buying opportunities, which we expect will further reduce our customer acquisition costs and improve the sales yield of our platform."

"The VMC business model is an excellent fit with InPhonic, a company we have long admired," said Rick Rahim, President and founder of VMC Satellite. "The combination of these companies will allow VMC's marketing partners and customers to benefit from InPhonic's broad relationships with all of the major wireless carriers in the U.S., providing them with an expanded product offering and enhanced customer experience."

Based just outside of Washington, D.C., VMC is a leading online seller of digital broadcast satellite service for DISH Network.

InPhonic is also pleased to announce that VMC senior management will be retained including VMC's co-founders and brothers, Rick and Zee Rahim. Rick Rahim will be joining InPhonic as President of the new Satellite Services division. Zee Rahim will be joining InPhonic as the Senior Vice President for Operations for the new division. "With the backing of InPhonic, we'll be able to open new doors and multiply our satellite operation in ways we could not previously consider as a private company," said Rick Rahim.

InPhonic paid cash and issued stock for an approximate aggregate value of $11.0 million at the closing. Additional consideration will be paid to VMC's shareholders upon reaching specific performance targets. More information relating to the impact of the acquisition on InPhonic's 2005 financial performance was provided at the time of the Company's first quarter 2005 earnings release.

About InPhonic

Headquartered in Washington, D.C., InPhonic, Inc. (NASDAQ: INPC) is a leading online seller of wireless services and products. InPhonic sells these services and devices, and provides world-class customer service through websites that it creates and manages for online businesses, national retailers, member-based organizations and associations under their own brands. InPhonic also operates Wirefly, a leading mobile phones and wireless plans comparison site that was awarded "Best of the Web" by Forbes magazine in 2004. Today, InPhonic owns and operates Liberty Wireless, a leading MVNO and can deliver a full range of mobility solutions to enterprise clients through its Mobile Virtual Network Enablement (MVNE) platform. In 2004, InPhonic was selected #1 company of the year on the Inc. 500 - Inc. Magazine's list of the fastest-growing privately held companies in the United States. More recently, InPhonic was named T-Mobile's Internet Partner of the Year for 2004. For more information on the company, its products and services, visit the InPhonic Corporate Web site at www.inphonic.com.

"Safe Harbor" Statement - Under the Private Securities Litigation Reform Act of 1995, this press release may contain forward-looking statements that involve risks and uncertainties. Important factors, which could cause actual operating results to differ materially from those in the forward-looking statements, are detailed in filings with the Securities and Exchange Commission made from time to time by the Company. This press release and statements are current as of the date of the individual announcements and the Company undertakes no obligation to publicly release any revisions to any forward-looking statement to reflect events or circumstances after the date thereof or to reflect the occurrence of unanticipated events.