IQE wins major order for Gallium Nitride based wafer products

17 March 2008

IQE plc (AIM: IQE, “the Group” ) the leading manufacturer of advanced semiconductor wafers to the global semiconductor industry, has won a major order from leading US semiconductor manufacturer TriQuint Semiconductor (Nasdaq: TQNT) for IQE’s Gallium Nitride (GaN) wafer products. This is the Group’s largest commercial order for GaN products to date. The wafers will be manufactured at its New Jersey operation and the order is scheduled for delivery throughout 2008.

TriQuint Semiconductor will use IQE’s GaN based HEMT (high electron mobility transistor) wafers to support its development of smaller, more durable and highly efficient power amplifiers for new commercial and military communications products. The wafers will be used in both on-going research and development efforts and the roll-out of TriQuint’s new products this year.

Gallium Nitride power amplifiers offer much higher power capability, efficiency and greater protection against breakdown than existing solid-state amplifier technologies commonly used today, providing significant benefits in terms of both performance and lower overall system costs.

Tony Balistreri, Research and Development Manager at TriQuint Semiconductor commented:

“IQE’s established track record in providing TriQuint with reliable, high-quality products was a key factor in selecting them for producing and delivering a range of advanced GaN epitaxial materials. We’ve developed a close working relationship with IQE throughout the development phase of our GaN program and this latest order is based on their solid support of us throughout that relationship.”

Mr Alex Ceruzzi, VP and General Manager of IQE’s New Jersey facility commented:

“This is a key order for us particularly as our broad product portfolio, which ranges from high volume HEMTs, HBTs and BiFETs to emerging technologies such as gallium nitride epitaxial wafers, provides our customers with a one-stop shop for all their advanced materials needs. We appreciate the trust TriQuint has placed in us to meet their needs.”

IQE RF are the leading GaN HEMT foundry for DARPA’s Microsystems Technology (MTO) programs

(see also  http://www.triquint.com/investors/press/dspPressRelease.cfm?pressid=309)

Contacts:

IQE plc +44 (0)29 2083 9400 Drew Nelson Phil Rasmussen Chris Meadows

College Hill +44 (0)20 7457 2020 Adrian Duffield Jon Davies

Noble and Company + 44 (0) 20 7763 2200 John Llewellyn-Lloyd Sam Reynolds

NOTE TO EDITORS

IQE is the leading global supplier of advanced semiconductor wafers with products that cover a diverse range of applications, supported by an innovative outsourced foundry services portfolio that allows the Group to provide a 'one stop shop' for the wafer needs of the world's leading semiconductor manufacturers.

IQE uses advanced crystal growth technology (epitaxy) to manufacture and supply bespoke semiconductor wafers ('epi-wafers') to the major chip manufacturing companies, who then use these wafers to make the chips which form the key components of virtually all high technology systems. IQE is unique in being able to supply wafers using all of the leading crystal growth technology platforms.

IQE's products are found in many leading-edge consumer, communication, computing and industrial applications, including a complete range of wafer products for the wireless industry, such as mobile handsets and wireless infrastructure, Wi-Fi, WiMAX, base stations, GPS, and satellite communications; optical communications, optical storage (CD, DVD), laser optical mouse, laser printers & photocopiers, thermal imagers, leading-edge medical products, barcode, high efficiency LEDs and a variety of advanced silicon based systems.

The manufacturers of these chips are increasingly seeking to source wafers from specialist foundries such as IQE in order to reduce overall wafer costs and accelerate time to market.

IQE also provides bespoke R&D services to deliver customised materials for specific applications and offers specialist technical staff to manufacture to specification either at its own facilities or on the customer's own sites. The Group is also able to leverage its global purchasing volumes to reduce the cost of raw materials. In this way IQE's supply services, provide compelling benefits in terms of flexibility and predictability of cost, thereby significantly reducing operating risk.

IQE operates six manufacturing facilities located in Cardiff (two) and Milton Keynes in the UK; in Bethlehem, Pennsylvania and Somerset, New Jersey in the USA; and Singapore. The Group also has 11 sales offices located in major economic centres worldwide.