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Newsroom Home Newsroom Archive 2004 October 25

News Release

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Epson Launches Pilot Production of 300-mm HTPS Panels at Chitose Plant


- TOKYO, Japan, October 25, 2004 -

Seiko Epson Corporation ("Epson") has launched pilot fabrication of state-of-the-art high-temperature polysilicon (HTPS) TFT liquid-crystal displays at its newly built plant in the Chitose Bibi World industrial complex in Hokkaido. The Chitose Plant, completed on July 22, 2004, will produce Epson's first 300-mm (12-inch) quartz-wafer HTPS displays, which will be used in 3LCD projectors.

The data projector market has been steadily expanding by 20% to 30% per year in response to increased projector use in business presentations and in the education sector. The spread of DVD players and digital broadcasts, meanwhile, has sparked burgeoning consumer demand for high-image-quality front projectors and large-screen LCD projection TVs for the home, especially in North America. (Refer to the attachment.)

To meet this robust demand, Epson has been setting up fabrication capabilities at and transporting equipment into the Chitose Plant to manufacture HTPS panels for 3LCD projection systems. Pilot runs have begun, as scheduled, in October.

Unlike Epson's Suwa Minami Plant, the new fabrication facility will produce HTPS panels on 300-mm quartz wafers - an Epson first - using state-of-the-art manufacturing technology. By dramatically shortening lead-time and bolstering quality-assurance processes, the plant will enable Epson to respond quickly and flexibly to customer demand.

In keeping with Epson's reputation as a leading environmental company, the plant features an eco-conscious design that achieves energy-efficient operations through energy-saving equipment and reduction of industrial waste thanks to reforms of the production process.

Volume production of 2,000 (300-mm) wafers per month is scheduled to begin in April 2005. Production volume will be increased gradually thereafter, being adjusted flexibly in accordance with market demand.

Epson has long led the projector market with its 3LCD projection system. As the liquid-crystal light valve industry's number one manufacturer, Epson maintained an approximately 55%* share of the global market in fiscal year 2003 ended March 2004. Underpinning this strength is the company's propriety advanced liquid crystal and high-aperture-ratio technologies, which enable it to offer low-power-consuming HTPS panels providing unrivaled luminous efficacy, outstanding brightness, and superior color reproduction.

In addition to developing new, market-leading products, Epson will continue to fully address market needs by building solid production bases and swiftly launching volume production while paying due heed to safety requirements.

An overview of the Chitose Plant is provided in the attachment.

* Including liquid-crystal and other projection systems. Epson estimate based on documents from Techno Systems Research, DisplaySearch, Fuji Chimera Research Institute, and other sources.

Click here for more information about Epson's Chitose Plant.
Click here for more details about Epson projectors and projection technologies.
Click here for more details about liquid crystal panels from Epson.

About Epson
The Epson Group increases its corporate value through its innovative and creative culture. Dedicated to providing its customers with digital image innovation, its main product lines comprise information-related equipment such as printers and projectors, electronic devices including displays, liquid crystal panels for projectors, semiconductors and quartz devices, and precision products such as watches. Epson products are known throughout the world for their superior quality, functionality, compactness and energy efficiency.
The Epson Group is a network of 84,899 employees in 110 companies around the world, and is proud of its ongoing contributions to the global environment and to the communities in which it is located. Led by the Japan-based Seiko Epson Corp., which is listed on the First Section of the Tokyo Stock Exchange, the Group had consolidated sales of 1,413 billion yen in fiscal 2003.

Contacts
Seiko Epson Corp.
Corporate Communications
Contact us by e-mail
http://www.epson.co.jp/

Attachment

1. Chitose Plant overview

Name: Seiko Epson Corporation, Chitose Plant
Address: 758-173 Bibi, Chitose, Hokkaido
Tel: 0123-22-5000; Fax: 0123-22-5001
Start of construction: August 2003
Completion of clean room: July 2004
Production launch: October 2004 (start of pilot run for 300-mm wafers)
Products: High-temperature polysilicon TFT LCD panels
Site area: 160,213.56 m2
Fab: Structure: Steel-frame construction
Floors: Seven floors above ground plus one-story tower
Building area: 20,149.84 m2
Total floor area: 82,971.65 m2
Initial production capacity: 2,000 wpm (300 mm)
Initial production workforce: Approximately 200 people
Initial investment: 35 billion yen.


2. Market trends



Seiko Epson estimates based on TSR, hearings with finished product manufacturers, etc.