Ibis Technology Announces SUMCO's Factory Acceptance of Implanter

    Business Editors/Technology Editors

    DANVERS, Mass.--(BUSINESS WIRE)--April 19, 2005--Ibis Technology Corporation (Nasdaq NM: IBIS), a leading provider of SIMOX-SOI implantation equipment to the worldwide semiconductor industry, today announced that Ibis and Sumitomo Mitsubishi Silicon Corporation (SUMCO) have completed the battery of tests and evaluations involved in factory acceptance for the new Ibis i2000 oxygen implanter ordered by SUMCO. As a result of having completed the factory acceptance process, Ibis will issue an invoice to SUMCO for approximately $4.8 million.
    SUMCO placed an order for the i2000 implanter earlier this year. Since that time, the system has undergone final configuration to meet SUMCO's requirements and has been tested against a comprehensive set of performance specifications. According to Lou Kaminski, Ibis Technology's customer support manager, "the factory acceptance process progressed smoothly."
    SUMCO and Ibis are now jointly conducting additional process development work on the implanter while SUMCO completes preparation of the facility in Japan where the implanter will be housed. Shipment of this system is expected to occur during the second quarter of this fiscal year.
    "SUMCO has been using one of our earlier implanters to produce SIMOX-SOI wafers for quite some time," said Martin J. Reid, president and CEO of Ibis. "This gives them a solid foundation of knowledge and experience that is directly applicable to the manufacture of advanced 300-mm SIMOX-SOI wafers using our i2000 implanter. We believe this will help them ramp up to production quantities fairly quickly."
    Ibis plans to recognize revenue of approximately $6 million from the sale of this implanter after the system has been shipped and installed in SUMCO's facility and final customer acceptance testing has been completed. This is expected to occur during the third or fourth quarter of this fiscal year.
    SUMCO is one of the world's top two manufacturers of silicon wafers. Headquartered in Tokyo, Japan, SUMCO operates fourteen manufacturing facilities located in Asia, Europe and the United States.

    About Ibis Technology

    Ibis Technology Corporation is a leading provider of oxygen implanters for the production of SIMOX-SOI (Separation-by-Implantation-of-Oxygen Silicon-On-Insulator) wafers for the worldwide semiconductor industry. Headquartered in Danvers, Massachusetts, the Company maintains an additional office in Aptos, California. Ibis Technology is traded on the Nasdaq National Market under the symbol IBIS. Information about Ibis Technology Corporation and SIMOX-SOI is available on Ibis' web site at www.ibis.com.

    "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995

    This release contains express or implied forward-looking statements regarding, among other things, (i) the expected shipment and on-site acceptance of the i2000 implanter ordered by SUMCO, (ii) the timing and likelihood of revenue recognition on that implanter, and (iii) the timing of SUMCO's ramping to production quantities on the i2000 implanter. Such statements are neither promises nor guarantees but rather are subject to risks and uncertainties which could cause actual results to differ materially from those described in the forward-looking statements. Such risks and uncertainties include, but are not limited to, unexpected events that could prevent the i2000 implanter ordered by SUMCO from being shipped and then qualified and accepted by SUMCO without substantial delay, modification or cancellation, in whole or in part, risks relating to SUMCO ramping to production quantities, and those other risks and uncertainties described in the company's Securities and Exchange Commission filings from time to time, including but not limited to, the company's Annual Report on Form 10-K for the year ended December 31, 2004. All information set forth in this press release is as of April 19, 2005, and Ibis undertakes no duty to update this information unless required by law.

--30--GK/bo*

CONTACT: Ibis Technology Corporation William J. Schmidt, 978-777-4247 or IR Agency Contact: Bill Monigle Associates Bill Monigle, 603-424-1184

KEYWORD: MASSACHUSETTS INDUSTRY KEYWORD: HARDWARE TELECOMMUNICATIONS SOURCE: Ibis Technology Corporation

Copyright Business Wire 2005