New "Strategic Supplier" agreement for RF epiwafer business

18 October 2006
 

IQE, the leading worldwide outsource supplier of customised wafer products and outsource wafer services to the global semiconductor industry is pleased to announce that it has signed a Memorandum of Understanding with a leading European RF wireless chip foundry. The agreement concerns the supply of IQE’s epi-wafers to be used in their RF wireless switch products. The intention of the memorandum is that the customer will utilise IQE as its preferred external supplier of epi-wafers to complement their existing in-house epi-wafer capacity. As the customer’s own product demand increases, it is anticipated that any increase in epi-wafer requirements beyond the customers internal capacity will flow directly to IQE as the customer’s preferred external source.

Commenting on the agreement Dr Drew Nelson, CEO of IQE plc, said, “IQE is very pleased to announce a new outsource arrangement with another leading supplier of RF chips to the global wireless industry, having worked closely with the customer over the last twelve months to achieve fully ‘qualified supplier’ status. We will be working closely with the customer to fully realise all the benefits of such an outsource arrangement to enable significant commercial benefits to accrue to both parties. Again, this demonstrates the strength of the outsource model, which is now becoming a key part of customers strategic considerations.”
 

Contacts

IQE plc +44(0) 29 2083 9400
Dr Drew Nelson, President & CEO
Stuart Hall, CFO
Chris Meadows, Investor Relations

Noble & Company Limited +44(0) 20 7763 2200
John Llewellyn-Lloyd
Graeme Bayley

Buchanan Communications +44 (0)2074-665000
Tim Thompson

Nicola Cronk