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Sumitomo, EMCORE Sign Agreement

-- Semiconductor International, 7/1/1999

US EMCORE Corp. (Somerset, N.J.) has signed a long-term agreement with Sumitomo Electric Industries (SEI, Hyogo, Japan) to jointly develop and manufacture indium gallium phosphide (InGaP) epitaxial wafers for as heterojunction bipolar transistor (HBT) devices used in digital wireless and cellular applications. These advanced compound semiconductor HBT wafers will be produced at EMCORE's Epitaxial Materials (E2M) wafer foundry in Somerset, N.J. Sumitomo Electric brings to the joint effort unique material characterization capabilities, and EMCORE's E2M foundry has the capacity needed for commercial volume production. The partnership represents a strategic international alliance that enables InGaP HBTs to move more rapidly into the commercial sector, according to Reuben Richards, president and CEO of EMCORE.

SEI will market the new HBT materials in Japan, which currently produces approximately 40% of the $1.7B world market for gallium arsenide-based wireless devices. According to market research from Strategies Unlimited (Mountain View, Calif.), in 1998 HBT epitaxial wafer shipments were the fastest growing segment of the GaAs epitaxial wafer market. HBT wafer shipments grew 72% over 1997 levels, reaching nearly 400,000 in2.

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