Foxconn and Cima NanoTech recently announced a joint venture developing large-format project capacitive (p-cap) touch sensors with silver nanoparticles (NPs) as transparent conductive films (TCF). The new venture aims to use their sensors to replace incumbent infrared (IR) touch sensors in large format applications like interactive white boards, video conference systems, interactive digital signage and casino machines.

Compared with IR sensors, p-cap sensors offer faster response time, support better multi-finger recognition and enable thinner designs by removing the bulk IR sensor frames. However, traditional p-cap sensors with indium tin oxide (ITO) as TCFs are prohibitively expensive for large format applications, leaving opportunities for ITO replacement solutions.

Compared with other ITO replacement options like metal mesh and silver nanowires (NWs), silver NPs are cheaper, do not have moiré effect (visible patterns due to superimposed lines) like metal mesh, and can survive higher electrostatic discharge (ESD) than silver NWs, and therefore make a good fit for large format applications.

However, NPs will face significant threat in the coming years, because their leading position in large format is as much a result of differentiated market focus as their performance or cost advantage. In terms of technical performance, silver NPs’ major competing technology, silver NWs, is just as good in transparency, sheet resistance and haze. In addition, there are workarounds for the ESD issues, for example, leading silver NW developer Cambrios adds grounding straps.

In terms of cost, Cima still has some advantages over silver NWs, but the gap is quickly narrowing. Companies like C3Nano claim that coated substrates with their silver NW inks, are 20% cheaper than ITO counterparts. In terms of applications, however, these silver NW developers prioritize small-to-medium consumer applications like smartphones, tablets and all-in-one PCs, a much larger market than the large format commercial market that NPs target.

Therefore, the Foxconn-Cima partnership has some advantages, as they are the first mover in this market, but to secure the position, the joint venture will need to act fast to stay ahead in technical performance and cost. Otherwise, look for crowds of competitors to turn to the large-format market in the coming years.

Tony Sun is an analyst on the Wearable and Flexible Electronics Intelligence team at Lux Research, which provides strategic advice and on-going intelligence for emerging technologies. He holds an M.S. and Ph.D. in physics from Boston College and obtained his B.S. in physics from Peking University in Beijing, China.  For more information, visit Lux Research.