Engineering: turning ideas into reality - Innovation, Universities, Science and Skills Committee Contents


Memorandum 122

Submission from the Technology Strategy Board

EXECUTIVE SUMMARY

  1.  The Technology Strategy Board welcomes the case study into Plastic Electronics Engineering by the Innovation, Universities and Skills Committee. This emerging technology offers a great prospect for the UK to exploit the critical Intellectual Property and knowledge that it possesses to generate wealth in the global market.

  2.  In recognition of this, Plastic Electronics has been identified by the Technology Strategy Board as an important part of one of five technology pillars in the draft Electronics, Photonics and Electrical Systems Strategy. The Technology Strategy Board will consider seriously further investment to exploit the UK's lead in plastic and organic electronics to develop a sustainable base for wealth creation.

  3.  To date, Technology Strategy Board Collaborative Research & Development competitions worth £48 million including Plastic Electronics in the technology scope have been conducted. The total value of Plastic Electronics projects that are running is over £52 million, representing over £25 million committed investment by the Technology Strategy Board at least matched by funding provided by business. The Plastic Electronic Technology Centre (PETeC), which opens in Summer 2008, benefits from a further £2.06 million investment by the Technology Strategy Board, in addition to the funding from One North East.

  4.  The Technology Strategy Board financially supports the UK Displays and Lighting Knowledge Transfer Network, which is an active champion for the field. Previous networking support of the Plastic Electronics sector has been through the Flexynet Link Programme, which later grew and evolved into the UK Displays and Lighting Knowledge Transfer Network.

THE TECHNOLOGY STRATEGY BOARD

  5.  The Technology Strategy Board was established in July 2007 as an Executive non-Departmental Public Body sponsored by the Department for Innovation, Universities and Skills. Our vision is for a world in which the UK is a global leader in innovation and a magnet for innovative businesses, who can apply technology rapidly, sustainably and effectively to create wealth and enhance quality of life. We will promote and invest in technology-enabled innovation:

    -  For the benefit of business,

    -  To increase sustainable economic growth,

    -  To improve quality of life.

  6.  We will invest with partners including Regional Development Agencies, Devolved Administartions and Research Councils in new ideas, build networks, promote knowledge exchange and provide leadership. With a wide remit covering the whole of the UK economy, the Technology Strategy Board will have to make choices as to where we invest. We will do so using the following criteria:

    -  Does the UK have the capacity and capability to develop and exploit the technology or innovation?

    -  What is the size of the global market opportunity?

    -  Is the idea ready? Potential for impact and timescale.

    -  Is there a clear Technology Strategy Board role?

  7.  We will evaluate our investments to inform future decisions. We will consider further investment in the exploitation and commercialisation of Plastic Electronics against these criteria.

INTRODUCTION

  8.  Plastic Electronics is an emerging field that has the potential to disrupt the world of electronic circuits and flat panel displays. It has been identified by the Technology Strategy Board as an important part of one of five technology pillars in the draft Electronics, Photonics and Electrical Systems Strategy.

  9.  The ability to utilise flexible substrates instead of the traditional rigid glass structures or silicon in certain applications, will lead to a paradigm shift in product and end-use capability as well as manufacturing processes with roll-to-roll processing, now a real possibility. The development of Organic Semiconducting Materials is also recognised by the Technology Strategy Board as a significant enabler. Although several UK companies are leading the way to exploit this field there is still work required to fulfil the potential.

  10.  The basic manufacturing technology, both for the use of organic semiconductors and for the creation of electronics on flexible substrates, is printing. The UK publishing industry is particularly well established, so there is considerable capacity and skills base to draw upon. The development of functional inks carrying organic semiconductor materials, metals and barrier materials has been driven in large part from the UK academic base, and their integration into the manufacturing process is now well underway.

CURRENT AND FUTURE ROLES OF ENGINEERS IN THE FIELD OF PLASTIC ELECTRONICS

  11.  This need for continued technical development is recognised by the Technology Strategy Board and is why further support and investment is being seriously considered. Additional technical challenges relate to the compatibility between materials (including wet shelf life), device geometry, processing-especially the manufacturing proposition, which could well be roll-to-roll as described above, and general issues of developing manufacturing capability.

  12.  Some of these challenges require genuine scientific advances in the laboratory but all of them require an investment of engineering effort. A joined up approach is required from electronic engineering and materials engineering through to manufacturing and process engineering, recognising that some of the solutions will originate from academia. It is the integration of solutions from these disciplines which will lead to systems and products which can then service the global market.

  13.  It should be recognised that a valid commercial proposition also exists for the individual material, component or production technology suppliers that can provide solutions to address these challenges and win in the global market.

  14.  If appropriate advances can be made to make printed electronics a commercial reality, this will also open up the field to a new skill base in the printing community who would not normally associate themselves with electronics. This means that it is not only traditional skill sets that are required but the innovative application of skills from other fields as well. This prospect is particularly exciting, because of this cross-cutting applicability.

POTENTIAL FOR PLASTIC ELECTRONICS IN THE UK/GLOBAL ECONOMY

  15.  The worldwide market for organic and printed electronics is estimated to rise from $1.18 billion in 2007 to over $48 billion by 2017[3], and technology analysts speculate that these new markets could be valued in the hundreds of billions of dollars within 20 years. One substantial opportunity is in the flat panel display component market, for which a UK capability study has been conducted in the past[4]. Recent data show the market exceeded $94 billion in 2006 and will grow to nearly $200 billion in the next ten years[5]. Currently this is based on silicon deposited on glass, but plastic substrates and organic semiconductors aim to penetrate or displace parts of this. For example, the e-paper market is predicted to reach $2 billion by 2012 and then double again in the subsequent two years[6].

  16.  It should also be recognised that the first applications of Plastic Electronics will not necessarily be the high end display market, even though some Far East companies have recently launched or announced thin displays based on Organic Light Emitting Diodes (OLED). In fact the first market opportunities could well come from those requiring short lifetime such as advertising displays or cheap giveaways from fast food outlets or garages etc. This is one of the reasons why Plastic Electronics is full of opportunities and the UK needs to identify and exploit these emerging markets, in parallel with the further development of the wider industry and technology for traditional applications.

  17.  In a field that is often referred to as Organic PV (PhotoVoltaic), Plastic Electronics also offers the possibility of cheap, flexible solar cells and a market of $2.3billion is predicted to emerge for thin film and organic semiconductors as they penetrate portable applications and low cost installations in the built environment[7]. Similar rapid market penetration is predicted for plastic RFID tags and other cheap disposable electronics, whilst the use of organic electronics in lighting applications leads to an emerging market for OLEDs that has been forecast to exceed $400 million by 2010, with strong continuing growth to over $6 billion in 2015[8], [9].

  18.  The uptake of these Plastic Electronics devices in the market promises a wealth of new application possibilities, providing a platform for software and service innovations, improving operating efficiency in retail and logistics, and penetrating into sectors as diverse as transport, publishing, medical devices and domestic and consumer electronics.

HOW UNIVERSITIES, INDUSTRY, VENTURE CAPITAL AND GOVERNMENT ARE INVOLVED IN THE DEVELOPMENT OF THE UK PLASTIC ELECTRONICS SECTOR

  19.  To date, Technology Strategy Board Collaborative Research & Development competitions worth £48 million including Plastic Electronics in the technology scope have been conducted[10]. The total value of Plastic Electronics projects that are running is over £52 million, representing over £25 million committed investment by the Technology Strategy Board at least matched by business.

  20.  The opening of the Plastic Electronic Technology Centre (PETeC) in Sedgefield, in the summer of 2008 will provide an open access facility to allow new companies to enter into this exciting new field and create working prototypes, which is why a £2.06 million capital investment in this centre was made by the Technology Strategy Board, supplementing infrastructure investment support from One North East. This centre will provide a focal point for developing manufacturing processes leading to commercialisation of the technology, and for building a skills base in the North East and nationwide to support it.

  21.  The Technology Strategy Board has also invested in networks to nurture and grow the field of Plastic Electronics; the UK Displays and Lighting Knowledge Transfer Network grew out of the Link Programme called Flexynet. UK Displays and Lighting are champions for Plastic Electronics in the UK, and provide a forum within which this community can meet and cross-fertilise ideas, to encourage innovation in the field. As well as providing knowledge transfer opportunities for the UK community, they also work with UK Trade and Investment as ambassadors for the UK capability to overseas companies and organisations, to provide new export or inward investment opportunities.

WHETHER THE UK ENGINEERING AND MANUFACTURING SECTOR ARE SET UP TO HANDLE GROWTH IN THIS AREA OR OTHER AREAS LIKE IT

  22.  There are also over 30 companies with benchmarked world-class R&D in Plastic Electronics, these range from home grown companies to multi-national players. UK organisations hold much of the knowledge and critical IP, along with leading positions in developing and marketing early products.

  23.  The UK also has an exceptionally strong academic base, with several 5-star university departments, such as the Cambridge Engineering (Centre for Advanced Photonics & Electronics) and Cavendish Laboratories, and Imperial College and Southampton having world class activities. EPSRC has taken a lead in supporting university research in this area, with several large grants to develop the UK capability.

  24.  Support and investment is required to help the growth in this area. However this is not just a case of providing money to the sector. In fact some of the bigger questions relate to how it is possible to extract wealth from the public and private investment. This might be through a new manufacturing proposition, or technology licensing or the supply of the constituent materials, components or processing equipment. Further work with the community and key stakeholders is required to explore these ideas and identify the UK route to wealth creation from Plastic Electronics technology.

  25.  This is where the Technology Strategy Board will work with the emerging Plastic Electronics industry and other stakeholders such as the Research Councils (eg EPSRC) and Regional Development Agencies (eg One North East), to make sure that all of the support is joined up. If new sectors are to embrace the opportunity that Plastic Electronics offers an appropriate out-reach programme needs to be conducted to educate the existing sector. Knowledge transfer is of utmost importance. It is also important that the correct technology barriers are addressed for the good of the wider community, and also that the manufacturing proposition for the sector is identified and exploited to ensure that the investment today, provides great payback in the future.

SUMMARY

  26.  The Technology Strategy Board welcomes the case study into Plastic Electronics Engineering by the Innovation, Universities and Skills Committee. The emerging industry offers a great prospect to for the UK to exploit the critical Intellectual Property and knowledge that it possesses to generate wealth in the global market. The Technology Strategy Board is seriously considering further investment to exploit the UK's lead in plastic and organic electronics to develop a sustainable base for wealth creation.

March 2008









3   IDTechEx, Organic and Printed Electronics Forecasts, players and Opportunities 2007-2027. Back

4   Flat Panel Displays in the UK-a guide to UK capability. Logystyx Ltd for DTI. Aug 05. Back

5   OIDA Global Market Optoelectronics Industry Market Report and Forecast. October 2007. Back

6   www.optics.org reporting on "E-Paper Markets: An Eight-Year Market And Technology Forecast" which is available from NanoMarkets. Back

7   Thin Film and Organic PV: New Applications for Solar Energy. NanoMarkets 2006. Back

8   OIDA Global Market Optoelectronics Industry Market Report and Forecast. October 2007. Back

9   Nanomarkets. Back

10   The following competitions have been run by the Technology Strategy Board and by the Department of Trade and Industry before that: £4 million, April 2004, Displays; £8 million, Nov 2004, Optoelectronics and Organic Electronics; £14 million, Apr 2006, Organic Electronics, Displays & Solid-State Lighting; £7 million, Nov 2006, Plastic Electronics and Displays; £5 million, Apr 2007, Plastic Electronics; £10 million, Nov 2007, Advanced Lighting, Lasers & Displays. Back


 
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Prepared 27 March 2009