Veeco Receive a $10m Order for MOCVD Production Systems

Veeco Instruments Inc., announced today that it received an order in excess of $10 million for multiple MOCVD (metal organic chemical vapour deposition) production systems from Fujian Quanzhou Sanan Group Ltd., a manufacturer of high brightness light-emitting diodes (HB-LEDs) based in Fujian Province, China.

The order is for Veeco TurboDisc(R) MOCVD GaNzilla(R) systems, which can be used for the production of white, blue and green HB-LEDs. MOCVD tools are used for the critical first step in the growth of compound semiconductor materials employed in rapidly growing HB-LED lighting applications. The tools will be shipped to the customer over the coming year.

According to Marlin Braun, Senior Vice President and General Manager of Veeco's Compound Semiconductor Operations, "This multiple unit order is an example of the strong worldwide growth opportunity for Veeco in the rapidly emerging LED market. We are pleased to be partnering with Fujian Quanzhou Sanan Group to help enable their LED production efforts. Veeco's GaNzilla systems are designed specifically for the production environment, and offer manufacturers a high-throughput, low-cost-per-wafer technology solution." (Strategies Unlimited reports that the GaN LED market was $2.7B in 2003 and is forecasted to reach more than $5B by 2008.)

Mr. Xiu Cheng Lin, President and CEO of Fujian Quanzhou Sanan Group, commented, "With this significant expansion of our production capacity we are taking a major step toward achieving our stated goal of becoming the leading supplier of LED materials in China. The multi-system order reflects our belief that the Veeco GaNzilla tool is the premier production platform for the growth of GaN materials."

Veeco's TurboDisc reactors are used in the growth of III-V compounds for numerous compound semiconductor applications, including data and telecommunications modules, cellular telephones and solar cells. GaNzilla(R) production systems are the recognized leader in growing gallium nitride-based devices, most notably green, blue and white HB-LEDs used in backlighting, wireless mobile devices, and automotive applications. Veeco's TurboDisc technology is known for its unique, high-speed rotating disc deposition technique ideal for high production rates. TurboDisc reactors are capable of depositing a wide variety of materials - GaAs, AlGaAs, InP, InGaAlP, InGaN, AlGaN, SiC and GaN - onto a substrate to grow compound semiconductor materials on the atomic scale.

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