eMagin Faces Financial Difficulties

HOPEWELL JUNCTION, N.Y., Dec. 10 -- eMagin Corp. announced it has laid off about two-thirds of its 26-employee work force in a bid to conserve cash and keep its manufacturing operations running. The company said it has begun to ramp up production of its OLED-on-silicon microdisplays for a variety of near-to-eye applications.

eMagin received a $3M capital infusion last summer, but it had sought to raise an additional $20M to fund its production ramp.

"We have been negotiating with several potential investors, but discussions have dragged on and on," eMagin CEO Gary Jones said. "We have a loyal and enthusiastic customer base that is ready to commit to sizeable production orders, but we need the funds to produce these orders, and thus far, we have been unable to close a deal."