USDC AWARDS HP AND IOWA THIN FILM TECHNOLOGIES THE LATEST IN SERIES OF CONTRACTS FOCUSED ON WEB-BASED MANUFACTURE OF FLEXIBLE DISPLAYS

Project will Explore Development of Lithography and Etch Tools for Roll-to-Roll Manufacturing

SAN JOSE, Calif., April 28, 2005 - The U.S. Display Consortium (USDC), a public/private partnership chartered with developing the industry supply chain needed for next-generation flat panel displays (FPDs), today announced the latest in its series of contracts designed to investigate, develop and commercialize roll-to-roll (R2R), or web-based, manufacturing of lightweight, flexible displays and microelectronic backplanes. HP and Iowa Thin Film Technologies, Inc. (ITFT) will team to develop and, respectively, market a R2R-based self-aligning lithography process (SAIL) and an innovative R2R plasma etching capability. The tools and processes could eventually be used to produce lightweight displays for both commercial and military applications, including notebook computers and personal digital assistants, large conformal displays and e-paper.

A flexible display based on plastic substrates is considered a new paradigm by the display industry.The use of new materials such as plastics, however, requires revolutionary processing methods that differ from the traditional batch processing of glass substrates or silicon wafers. “Web-based manufacturing—in which products can be created on a continuous roll of flexible material—has demonstrated significant strengths. Chief among these pertinent to displays is the potential to increase yields at high throughput rates, which reduces overall manufacturing costs compared with traditional processes,” stated Dr. M. Robert Pinnel, USDC’s chief technology officer. “These significant, strategic projects we are initiating with HP and ITFT will address major hurdles in process tool development that need to be overcome in order for web-based manufacturing of flexible displays to become a reality.”

The SAIL process from Palo Alto, Calif.-based HP integrates all the pattern and alignment information for complete device fabrication into a single 3D mask that is imprinted on the substrate. The masking structure can “move” with the flexible substrate, preserving alignment throughout subsequent processing. The R2R plasma etching capability from Ames, Iowa-based ITFT will provide for anisotropic etching of continuous, roll-based substrates. Together, the projects address the issues of accurate registration for both creating device features on a flexible substrate and enabling advanced etching techniques, similar to those in use by the silicon wafer-based semiconductor industry.

The cost of the two-year HP and ITFT project, which will total approximately US$5.17 million, will be shared among HP, ITFT and the USDC. The work plan will consist of three phases:

• Phase I − Develop basic capability for R2R deposition and dry etching; commence development of HP’s SAIL process. Thin film transistor (TFT) test structures will also be fabricated in a batch process.

• Phase II − Fabricate TFTs with the SAIL process, moving to a full R2R demonstration.

• Phase III − Develop a prototype display utilizing the devices and processes.

Carl Taussig, project leader for HP, commented, “We’re pleased that USDC has awarded this contract to HP and ITFT to enable further development and cost-sharing of the SAIL and etch technology. The HP and ITFT teams assembled for the project are committed to delivering state-of-the-art manufacturing processes for the web-based production of flexible, next-generation FPDs.”

“Congratulations go to the ITFT team for partnering with HP and for winning this USDC contract,” said U.S. Representative Tom Latham (R-IA/4). “I believe that continued technology investments are crucial to sustaining the qualitative edge enjoyed by our armed services. Development of lightweight, flexible communication products represents the output of these types of investments.”

The contract with HP and ITFT is the latest in USDC’s efforts to develop the process equipment essential for web-based manufacturing. Earlier contracts have been made to the Kurt J. Lesker Company (KJLC) to develop a linear organic materials deposition source module needed to manufacture large-area (600 mm) organic light-emitting diodes (OLEDs); to CHA Industries to design and build a new web-coating deposition tool; and to Azores Corporation for a web-based lithography tool. In January 2005, USDC also announced an award to Binghamton University ( Binghamton, N.Y.) for a R2R manufacturing R&D center.

Contact:

Heidi Hoffman
USDC
408.993.8111
heidi@usdc.org

About the U.S. Display Consortium
The U.S. Display Consortium is an industry-led public/private partnership providing a common platform for flat panel display and flexible microelectronics manufacturers and developers, FPD users, and the supplier base. Headquartered in San Jose, Calif., the consortium’s primary mission is to fund supply-chain projects and share the results with USDC member companies. The USDC also provides a communication channel among industry, government and the financial communities for display issues; sponsors workshops to broaden the impact of technological developments; and educates consumers on the importance of displays in providing access to information technology. More information about the USDC can be found at www.usdc.org

About Iowa Thin Film Technologies
Iowa Thin Film Technologies, Inc., founded in 1988, is the first and only company in the world to develop, manufacture, and sell monolithically integrated semiconductors on a flexible polymer substrate, using the company’s proprietary roll-to-roll manufacturing technology platform. The company has developed, manufactures, and sells its line of PowerFilm® integrated photovoltaics (solar) products for lightweight portable and durable remote applications, air and space applications, and is developing products for building integrated photovoltaics (BIPV). It also is developing thin film transistor and diode products for flat panel displays, RFID tags, digital memory for camera and audio, medical imaging, and electronic paper. More information is available at www.iowathinfilm.com.