This article describes the generation of innovative TPE-two-phase polymers. Ethylene/octene-copolymers crosslinked dynamically by means of organosilanes are used as synthetic rubber phase. Grafting, hydrolysis and condensation reactions with the organosilanes are carried out in a twin-screw extruder in the course of a single-stage process. As a result of blend composition and crosslinking strategy the generated thermoplastic elastomers show outstanding property profiles.