Nemoptic, an e-paper display company based in France, and Japan-based Seiko Instruments, have entered into an agreement under which Nemoptic will license its bistable BiNem technology to Seiko.

This deal complements an existing subcontracting agreement the two companies signed in April 2007, which enables Nemoptic to source BiNem modules for its own sales activity.

”We are very pleased that SII, a world leading producer of LCD displays, has chosen to license our BiNem LCD technology to bring reliable and cost-competitive products to the growing e-paper display market,” says Philippe Méchanick, CEO at Nemoptic. “The license agreement is further endorsement of the BiNem technology as a cost-effective solution for e-paper displays and creates new opportunities for us, our customers and partners.”

“We are delighted to have the opportunity not only to manufacture for Nemoptic but also to produce and sell BiNem products under license. We hope to make the best use of our sales know-how, SII’s subsidiaries, affiliates, and distributors to sell BiNem products in all potential markets,” says Kokichi Ito, Division Manager for the SII STN Display Division.

BiNem(Bistable Nematic) is Nemoptic’s breakthrough technology that enhances existing LCD technologies with memory effect and superior image quality. This means that its displays have the ability to retain data and images on a screen without using power. Energy is required only when changing the screen’s content.

Unlike other bistable technologies, BiNem has the advantage of being highly compatible with existing LCD processes, so that it can be produced on existing LCD manufacturing lines, without additional capital investment. “Furthermore, BiNem technology is backed up by the LCD industry infrastructure, its know-how, materials and equipment that have accumulated over the years,” Méchanick says.

Expecting a strong demand growth for Electronic Shelf Label (ESL) systems, SII is currently preparing its front-end factory in Japan and back-end factory in China to start producing e-paper displays at a rate of 100,000 per month.

ESLs are electronic price tags used in supermarkets or other retail stores, which can be updated wirelessly with a new price, product or promotional information from a store's central computer. With a market size of 20 million price labels per year, growing at a rate of 40 per cent a year for a potential market of five billion labels, BiNem displays respond to a strong demand for improved shopper experience, more efficient inventory and promotional management at supermarkets.