Ibis Technology Ships i2000 Oxygen Implanter to SUMCO

DANVERS, Mass.--June 15, 2005--Ibis Technology Corporation , a leading provider of SIMOX-SOI implantation equipment to the worldwide semiconductor industry, today announced the shipment of an Ibis i2000 oxygen implanter to Sumitomo Mitsubishi Silicon Corporation (SUMCO). This implanter recently completed the factory acceptance process at Ibis, and now is scheduled to be installed in the customer's facility and undergo final on-site acceptance testing.

Martin J. Reid, president and chief executive officer of Ibis Technology Corporation, said, "We have now shipped implanters to two of the world's leading silicon wafer manufacturers. This is significant because we expect that it will be the wafer suppliers who become the predominant suppliers of SIMOX-SOI wafers to the global semiconductor industry. Having two wafer suppliers who can respond to the increasing demand for 300-millimeter SIMOX-SOI wafers is a major step forward. Now chipmakers will have multiple sources of supply for these advanced SOI wafers."

Prior to shipment of this system--during the factory acceptance process and during the time the customer's facility was being prepared for this implanter--SUMCO and Ibis engineers worked together in pursuit of improvements in several specific aspects of implanter and process performance.

Yoshiaki Shida, Managing Executive Officer for SUMCO, said, "We have a strong relationship with Ibis Technology, and our joint development programs are benefiting overall SIMOX-SOI technology. These are the kind of development programs that will increase the demand for SIMOX-SOI."

"The semiconductor industry's technology roadmap identifies the need to accelerate the introduction of SOI technology with qualification and pre-production work taking place through 2005," said Reid. "The type of joint development activities we are pursuing with our wafer supplier customers have already enabled important advances. We expect more to follow."

Revenue recognition, which is expected to occur by the end of this year, will be based on final customer acceptance at their facility, the timing of which may vary depending on a number of factors, which include the customer's site being properly facilitized (power, water, air) and performance of the tool. As a result, Ibis cannot provide any guarantees with respect to when or whether it will recognize revenue on this transaction.

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.