Hsinchu, Taiwan,

AUO Corporation ("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*1 . 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.

*1 According to the available market research information as of October 18, 2007.