Novalux Inc. of Sunnyvale, Calif., has entered into a joint development and licensing agreement with Seiko Epson Corp. of Nagano, Japan, for illumination devices for microdisplay-based products. The California company will license its red-green-blue laser reference design and will supply Epson with its extended-cavity surface-emitting laser semiconductor chips. Epson will use the chips to leverage its high-precision processing and optical technologies to develop engines for integration into its three-panel LCD projectors for consumer products such as projection TVs.