UK Companies Slow to Grasp Plastic Electronics Opportunities

LONDON, December 21 - We are on the brink of a new age of Plastic Electronics, production costs
are tumbling and business opportunities are growing exponentially, yet
companies are slow to take up the innovation challenge, according to research
from the Advanced Institute of Management Research (AIM Research)
(www.aimresearch.org).

"Yoghurt pots that flash at you to say they're mouldy, animated e-papers
like Harry Potter's Daily Prophet, smart packaging on pills that beep your
doctor when you forget to take them - these applications are no longer the
stuff of sci-fi," says Dr Zella King of Henley Business School. "Today,
Plastic Electronics can already offer huge growth opportunities for
companies."

The Plastic Electronics industry is predicted to be worth $335 billion by
2029, and the UK is leading the way on global innovations. Networks of UK
universities and companies are collaborating on new technologies and
products. As a measure of its significance, the UK Government launched its PE
strategy on December 7 this year.

The opportunities are vast. The technology is here, and Plastic
Electronics products are already being manufactured on a commercial scale.
What is lacking, however, is involvement by product designers and market-led
end users. Companies in the retail, healthcare, transport, electronics and
packaging industries have yet to understand the revolution taking place.
"They need to realise this is no longer the domain of electronics companies,"
says Dr King, "it is open to anyone seeking to add value to their existing
portfolio by using new technology."

Smart companies got in at the start. Esquire magazine wowed readers last
year with the first animated e-paper magazine cover. Next year, Plastic Logic
Ltd. will launch QUE, its shatterproof, wireless, A4 e-reader no heavier than
Vogue. And the latest range of intelligent bandages can measure oxygen levels
in a patient's wound to determine when they need changing. A tiny antenna,
printed into the fabric, then beeps the patient's doctor.

The beauty of Plastic Electronics is that electronic materials can be
formed into circuits using cheap core materials. Products can be printed onto
flexible surfaces like paper, film or fabric allowing the manufacture of
thin, lightweight devices that will not shatter like glass-based liquid
crystal displays. The costs are so low that, for example, disposable
interactive games can be made for consumer promotions, sensors can be
incorporated into smart packaging and bandages, and clothing can be printed
with wearable electronics and solar cells.

But innovation is moving fast, and there will only be a small window of
opportunity for companies to gain competitive advantage and global market
share. The research suggests that strong business models are needed to
channel the UK's world-leading expertise into the development of Plastic
Electronics components and businesses. This will only happen where
collaboration between technology companies and research organisations is led
by firms that have a vision of how to create customer value from Plastic
Electronics.

The report can be downloaded from
www.aimresearch.org/index.php?page=alias-26

Contact: Colin Hallmark, 3:nine Communications +44(0)207-736-1888 colin at 3nine.co.uk