Innolux to Be No. 1 Touch-screen Panel Maker in Taiwan in 2008

Taipei, Jan. 23, 2008 (CENS)--Innolux Display Corp., a Taiwan-based maker of thin film transistor-liquid crystal display (TFT-LCD) panels, recently claimed that it would kick off mass production of capacitor-type touch-screen panels in the first quarter of 2008.

Innolux, an affiliate of the Hon Hai Group, one of the world's largest EMS (electronics manufacturing services) providers, announced plans to step into touch-screen panel business in 2007 and began shipment of resistor-type products in the fourth quarter of last year.

The company claimed that all touch-screen panels produced would be supplied to Hon Hai group affiliates. Innolux expects to sell NT$3.5 billion to NT$4 billion (US$107.69 million to US$123.08 million at US$1: NT$32.5) worth of touch-screen panels this year, making it the largest such supplier in Taiwan.

The increasing popularity of touch-screen panels prompted Innolux to move into the new business and began shipment of resistor-type cellphone panels in October 2007 to affiliates. The company's monthly shipment of such product reached about 20,000 units by end of 2007.

Innolux has begun installing equipment for manufacturing capacitor-type touch-screen panels at an initial monthly capacity of 20,000 units, and plans to gradually expand the capacity to 60,000 units. In addition, the ambitious firm has also started to conduct up- and down-stream integration works.

Duan Hsing-jian, Innolux chairman, pointed out that the touch-screen panel would have a strong potential in future development because such displays would be applied to not only cellphones but also notebook PCs and LCD TVs. So, he added, Innolux would further integrate its touch-screen and system products so as to expand the application range of such hot display product.

In addition, Innolux expects to ships 100 million small-sized TFT-LCD and super twisted nematic (STN)-LCD modules in 2008, while targets to integrate the development of both small-sized panel modules and touch-screen products.

Other touch-screen panel makers in Taiwan also report lucrative operation results in 2007. SWENC Inc. of Compal Group, for example, registered revenue of NT$1.34 billion (US$41.23 million) in 2007, up around 80% from previous year, and shipped about 15 million touch-screen panels, double from 2006.