March 7, 2005

Kyma Technologies, Inc. today announced the implementation of key strategic initiatives as well as its introduction of an improved and expanded gallium nitride (GaN) substrate product portfolio.

Kyma's President & CEO Keith Evans offered, "We are actively building innovation capacity to accelerate the rate of product improvement and new product development. This is one of multiple strategies being implemented to improve our ability to provide high quality products and services to our customers and partners. One early payoff is the availability of an improved and expanded product portfolio."

Kyma's VP Business Development and CTO Drew Hanser added, "Our recently improved product portfolio features both conductive and semi-insulating (SI) GaN substrates, ranging in size and shape from 10 mm x10 mm squares to full 30 mm diameter rounds, all with dislocation densities below 107cm-2 (some as low as mid 105cm-2) and with much improved surfaces. Our customers can expect rapid realization of high quality epitaxial films. We are also developing 4 inch diameter SI GaN for use in microelectronic device applications. Additionally, we are seeking out new collaboration partners for select materials and device development efforts."

Choice of size, shape, and conductivity

Kyma's customers can select from limited quantities of both conductive (n-type) and SI GaN substrates in each of the following sizes and shapes:

Orientation

The standard orientation is Ga-face c-axis with a tolerance of 0.5 degrees. Kyma can also provide off axis orientations as requested.

Surface finish

High quality surfaces are now available due to recent improvements in Kyma's polishing process. Kyma's GaN substrates are free of sub-surface damage and have typical surface roughness RMS values of less than 0.5 nm. Both single and double side polished substrates are available.

About the III-nitride device market

The total market for III-nitride device applications is expected to pass $25B by 2015. The large commercial markets for silicon-based electronics, gallium-arsenide-based cellphone electronics, and indium-phosphide-based telecommunications optoelectronics rely completely upon the availability of the associated native substrates. Many if not most III-nitride devices, especially those with Ga-rich III-N device layers, can benefit from the use of native GaN substrates, due to better match between substrate and device layer characteristics as well as higher quality device active regions for enhanced device performance and reliability.

About Kyma Technologies, Inc.

Kyma is a leading developer of native gallium nitride substrates, which offer key potential benefits over competing substrates for increased reliability and performance of III-nitride semiconductor devices for a broad range of commercial and military applications. Kyma uses a high rate crystal growth process to produce "boules" of GaN from which substrates are sliced and polished.

For more information about Kyma Technologies, please visit our website www.kymatech.com, send us e-mail at info@kymatech.com, or call the company directly at 919.789.8880.

Kyma is a registered trademark of Kyma Technologies, Inc.