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AU Optronics Unveils In-Cell Multi-Touch Panel Technologies and a 0.69mm Ultra-Thin Mobile Device Panel

October 18, 2007

Human-interface and System-integrated Devices Become the New Trend for Mobile

Display Technologies

HSINCHU, Taiwan, Oct. 18 /Xinhua-PRNewswire-FirstCall/ — AU Optronics Corp. (“AUO”) (TAIEX: 2409; NYSE: AUO) today unveiled breakthrough technologies for mobile device applications, including two kinds of in-cell multi-touch panel technologies and the world’s thinnest 1.9-inch mobile device panel of 0.69mm. The newly introduced small- and medium-sized display technologies once again demonstrate AUO’s aggressive approach towards strengthening self-developed innovations and increasing its value-added products.

AUO’s latest mobile display technologies will be showcased at FPD International 2007, from October 24 to October 26, in Yokohama, Japan.

It is expected that AUO’s in-cell multi-touch panel technologies will grab the spotlight during the exhibition. Unlike the touch panel applications currently on the market, AUO’s two newly-launched 4.3-inch multi-touch panel technologies both implement in-cell design, which integrate touch function features into the TFT-LCD manufacturing process without adding an additional glass and thus, are able to retain a thickness of 2.2mm with a resolution of 480 x 272 — thinner than conventional touch panel applications. Also, they both have superior anti-glare properties to retain proper image color saturation and readability under the sunlight. Furthermore, AUO’s multi-touch panel technologies have overcome the inconvenience in frequently-required calibration of conventional touch panel applications, and feature real-time true multiple touch point detection which allow users to easily slide their fingers on the screen to better enjoy the touch panel experience. AUO has been dedicated to developing touch panel related technologies for many years. The two newly-introduced AUO in-cell touch-panel technologies, scheduled to begin mass production in 2008, contain the company’s internally developed proprietary technologies and are regarded as one of only a few touch-panel technologies worldwide which integrate the fabrication process to the LCD cell manufacturing process.

By implementing the latest glass thinning technology and shrinking the thickness of related components, AUO today revealed the thinnest reported 1.9-inch mobile device TFT-LCD at 0.69mm, 13% thinner than the thickness of a credit card. The new LCD screen with a weight of 2.2 grams and 400-nit high brightness accomplishes a multitude of features — light, slim, elegant and sunlight readable, to suit current mobile lifestyles.

“The features we may expect to see in future mobile device technologies are human interface and system integration,” said Dr. CT Liu, AUO Vice President & GM of Consumer Product Display Operations. “Being an industry leader, AUO will be leveraging the advantages of TFT-LCD manufacturing process integration with the aim to produce value-added TFT-LCDs and deliver customer- and consumer-oriented products and technologies.”

AUO’s other human-interface device technologies will also be demonstrated at FPD International 2007, including a 7-inch 2D/3D dual-image car display, which is able to display both 2D and 3D images in different directions simultaneously. With this 2D/3D dual-image function, drivers could be restricted to watch only relevant information such as GPS navigation, while a front-seat passenger could play 3D games. Another breakthrough technology is AUO’s 2.2-inch mobile device display with mobile industry processor interface (MIPI), featuring high-speed data transmission functions and efficient power- management systems. MIPI is regarded as the development platform for smartphone applications and have the potential to accelerate the growth of the value chain in the mobile industry.

AUO continuously enhances its already-developed small-and medium-sized display technologies — AMVA-mobile, ASPD-mobile, APE-mobile, and HiColor technologies, in improving clear depth of image and motion blur reductions so as to fulfill the needs of playing multimedia applications. The enhanced technologies are now applied to a 2.4-inch VGA mobile device display with the features of 3500:1 contrast ratio and 450-nit brightness; a 2.4-inch VGA mobile device display delivering 100% of NTSC; and a 2.8-inch ambient-light- sensor embedded VGA mobile device display with flexibility in automatically adjusting backlight brightness in accordance with ambient light, offering up to 50% of power saving.

Pictures for the above news release can be downloaded from AUO corporate website URL: http://auo.com/auoDEV/pressroom.php?sec=Photos&ls=en

Any use of photographs must cite the source thereof is from AU Optronics Corporation

About AU Optronics

AU Optronics Corp. (“AUO”) is one of the top three largest manufacturers* of large-size thin film transistor liquid crystal display panels (“TFT-LCD”), with approximately 20.2%* of global market share with revenues of NT$293.1billion (US$9.0bn)* in 2006. TFT-LCD technology is currently the most widely used flat panel display technology. Targeted for 40″+ sized LCD TV panels, AUO’s new generation (7.5-generation) fabrication facility production started mass production in the fourth quarter of 2006. The Company currently operates one 7.5-generation, two 6th-generation, four 5th-generation, one 4th-generation, and four 3.5-generation TFT-LCD fabs, in addition to eight module assembly facilities and the AUO Technology Center specializes in new technology platform and new product development. AUO is one of few top-tier TFT-LCD manufacturers capable of offering a wide range of small- to large- size (1.5″-65″) TFT-LCD panels, which enables it to offer a broad and diversified product portfolio.

   -- DisplaySearch 2Q2007 WW Large-Area TFT-LCD Shipment Report dated      Aug 7, 2007.  This data is used as reference only and AUO does not      make any endorsement or representation in connection therewith. 2006      year end revenue converted by an exchange rate of NTD32.59:USD1.    Safe Harbour Notice  

AU Optronics Corp. (“AUO” or the “Company”) (TAIEX: 2409; NYSE: AUO), the worldwide top three manufacturer of large-size TFT-LCD panels, today announced the above news. Except for statements in respect of historical matters, the statements contained in this Release are “forward-looking statements” within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. These forward-looking statements were based on our management’s expectations, projections and beliefs at the time regarding matters including, among other things, future revenues and costs, financial performance, technology changes, capacity, utilization rates, yields, process and geographical diversification, future expansion plans and business strategy. Such forward-looking statements are subject to a number of known and unknown risks and uncertainties that can cause actual results to differ materially from those expressed or implied by such statements, including risks related to the flat panel display industry, the TFT-LCD market, acceptance and demand for our products, technological and development risks, competitive factors, and other risks described in the section entitled “Risk Factors” in our Form 20-F filed with the United States Securities and Exchange Commission on July 2nd, 2007.

AU Optronics Corp.

CONTACT: Rose Lee, Corporate Communications Dept of AU Optronics Corp,+886-3-5008899 x3204, or fax, +886-3-5772730, or rose.lee@auo.com; Yawen Hsiao,Corporate Communications Dept. of AU Optronics Corp., +886-3-5008899 x3211, orfax, +886-3-5772730, or yawen.hsiao@auo.com, both of AU Optronics Corp.

Web site: http://auo.com/auoDEV/pressroom.php?sec=Photos&ls=en




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