AXT Inc was incorporated in California in December 1986 and reincorporated in Delaware in May 1998. It is the developer and producer of high-performance compound and single element semiconductor substrates, including substrates made from gallium arsenide or GaAs, indium phosphide or InP and germanium or Ge. It makes semi-insulating GaAs substrates used in applications such as amplifiers and switches for wireless devices, and semi-conducting GaAs substrates used to create opto-electronic products including HBLEDs, which are often used to backlight wireless handsets and LCD TVs and for automotive and general illumination applications. InP is a high performance semiconductor substrate used in broadband and fiber optic applications. Ge substrates are used in emerging applications such as triple junction solar cells for space and terrestrial photovoltaic applications and for optical applications. It manufactures all of its semiconductor substrates using its proprietary vertical gradient freeze technology. It manufactures all of its products in the Peoples Republic of China, which generally has favorable costs for facilities and labor compared with comparable facilities in the United States, Europe or Japan. There are basically three technologies for crystal growth in its business: Vertical Gradient Freeze, Liquid Encapsulated Czochralski, and Czochralski. The Companys core technologies include its proprietary VGF technique used to produce high quality crystals that are processed into compound substrates, and the technologies of its joint venture companies, which enable it to manufacture products that are used in the manufacture of compound semiconductor substrates or could be sold as raw materials to third parties. The Company is subject to federal, state and local environmental laws and regulations, including laws in China as well as the U.S.