Exhibit 10.1

Amendment No. 2 to the
AMENDED LICENSE AGREEMENT

by and among

PRINCETON UNIVERSITY,
THE UNIVERSITY OF SOUTHERN CALIFORNIA,
THE REGENTS OF THE UNIVERSITY OF MICHIGAN

and

UNIVERSAL DISPLAY CORPORATION

Dated: January 1, 2006

The Trustees of Princeton University (“PRINCETON”), the University of Southern
California (“USC”) and Universal Display Corporation (“Licensee”), having
previously entered into an Amended License Agreement effective as of October 9,
1997, as subsequently amended by Amendment No. 1 on August 7, 2003 (the
“Agreement”), together with the Regents of the University of Michigan
(“MICHIGAN”), intending to be legally bound, do hereby mutually agree to amend
the Agreement as follows:

  1.     MICHIGAN is hereby added as a party to the Agreement. In all places in
the Agreement where USC is referenced said reference shall henceforth be deemed
to include both USC and Michigan, except: (1) in the existing recitals on pages
1 and 2 of the Agreement; and (2) in sections 4.6, 4.7 and 15.1 of the
Agreement; and (3) in those provisions deleted or amended below.      

  2.     The following new recitals are hereby added to the Agreement, on page 2
following the existing recitals:

               “WHEREAS, Professor Forrest became employed by the University of
Michigan (“MICHIGAN”) in January 2006 and is continuing his research in the
field of the Technology at that institution;

               WHEREAS, LICENSEE has entered into a new Sponsored Research
Agreement with USC, under which LICENSEE is continuing to support basic research
in the field of the Technology under the supervision of Professor Thompson at
USC and, as a subcontractor to USC, Professor Forrest at MICHIGAN (the “New
Sponsored Research Agreement”); and

               WHEREAS, PRINCETON and MICHIGAN have entered into an
Interinstitutional Agreement, that provides for any inventions under the New
Sponsored Research Agreement to be subject to this License Agreement, and
further provides that PRINCETON shall manage such inventions on behalf of USC
and MICHIGAN.”

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      3.     Paragraph 1.4 is hereby deleted in its entirety and replaced with
the following:

                1.4      “Patent Rights” shall mean (i) the United States and
foreign patents and patent applications set forth in Appendix B attached hereto
and made a part hereof; (ii) any United States and foreign patents and patent
applications arising out of the Sponsored Research Agreement and/or the New
Sponsored Research Agreement (including, without limitation, work performed at
MICHIGAN under the subcontract with USC and/or under the Sponsored Research
Agreement prior to execution of the subcontract), including inventions conceived
or discovered thereunder; (iii) the United States patents and foreign patents,
including utility models and patents of importation and addition, issuing from
said United States and foreign patent applications, or later-filed foreign
applications based upon any of said United States patents and applications; and
(iv) any continuations, continuations-in-part divisions, reissues, or extensions
of any of the foregoing.

      4.     Paragraph 1.5 is hereby deleted in its entirety and replaced with
the following:

               1.5      “Licensed Product(s)” shall mean any product which:

               (a)      is covered in whole or in part by (i) a pending claim
contained in the Patent Rights in the country in which the product is made, used
or sold, or (ii) a valid and unexpired claim contained in the Patent Rights in
the country in which the product is made, used or sold;

               (b)      is manufactured by using a process which is covered in
whole or in part by (i) a pending claim contained in the Patent Rights in the
country in which the Licensed Process is used, or (ii) a valid and unexpired
claim contained in the Patent Rights in the country in which the Licensed
Process is used; or

               (c)      is used according to a method which is covered in whole
or in part by a valid and unexpired claim contained in the Patent Rights in the
country in which the method is used.

          All unexpired claims of issued patents shall be considered valid
unless and until a court of competent jurisdiction issues an unappealed or
unappealable final order to the contrary.

      5.     Paragraph 1.6 is hereby deleted in its entirety and replaced with
the following:

               1.6      “Licensed Process(es)” shall mean a process or method
which is covered in whole or in part by (i) a pending claim contained in the
Patent Rights, or (ii) a valid and unexpired claim contained in the Patent
Rights in the country in which the process or method is used.

      6.     A new paragraph 2.5 is hereby added to Article II as follows:

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               2.5      MICHIGAN, USC and PRINCETON reserve the right to
practice the Patent Rights arising from inventions first conceived prior to
January 1, 2006, for educational purposes and for internal research (including
clinical) directed by the Principal Investigators (as defined in the New
Sponsored Research Agreement), including any such internal research conducted by
or in collaboration with other researchers or students at these institutions,
provided that such research is not funded by another commercial entity. In
addition, MICHIGAN, USC and PRINCETON reserve the right to practice the Patent
Rights arising from inventions first conceived after January 1, 2006, for
educational purposes and for internal research (including clinical) directed by
researchers or students at these institutions, provided that such research is
not funded by another commercial entity, and provided further that this
reservation shall not imply any expansion of the reserved right to practice the
Patent Rights described in the preceding sentence.

      7.     Paragraphs 4.2 (b) and 4.2(c) shall not entitle MICHIGAN to any
stock or warrants therefor, in LICENSEE.      

  8.     Paragraphs 6.1 through 6.4 are hereby deleted in their entirety and
replaced with the following:

               6.1      LICENSEE may designate by notice to PRINCETON, or to the
patent attorneys after consultation with PRINCETON, countries where applications
within Patent Rights shall be filed and prosecuted, and/or issued patents within
the Patent Rights shall be maintained, which may include the United States or
any other country. PRINCETON shall communicate with USC and MICHIGAN pursuant to
their Interinstitutional Agreement. LICENSEE agrees to pay for all reasonable
and necessary out-of-pocket expenses incurred in the preparation, filing,
prosecution, maintenance, renewal and continuation of Patent Rights in said
designated countries, including all taxes, official fees and attorneys’ fees.
The patent law firm shall be reasonably acceptable to LICENSEE, PRINCETON, USC,
and MICHIGAN. PRINCETON and, as to Patent Rights arising out of the New
Sponsored Research Agreement, MICHIGAN shall be clients in the relationship with
such law firm and may provide instructions to such law firm regarding the scope
and content of the Patent Rights, subject to the right of LICENSEE to request
PRINCETON or MICHIGAN to instruct such law firm, or instruct the law firm
directly after consultation with PRINCETON or MICHIGAN, to cover any additional
matters as LICENSEE may reasonably desire to assure that such Patent Right
covers all reasonable items of commercial interest and importance. PRINCETON and
MICHIGAN will not unreasonably refuse requests of LICENSEE. PRINCETON and
LICENSEE each shall receive copies of all correspondence with respect to such
preparation, filing, renewal and continuation of Patent Rights, and shall
consult with each other regarding all such matters and the costs associated
herewith. The rights of PRINCETON, USC and MICHIGAN are subject to the
Interinstitutional Agreement.

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               6.2      LICENSEE may elect in writing to be released from its
obligations under this Agreement for any Patent Rights in a particular country
after initial patent filing costs have been paid, upon thirty days’ notice of
election being given to PRINCETON, in which event it shall thereafter have no
obligation to reimburse PRINCETON, USC or MICHIGAN for any subsequent expenses
relating to said Patent Right in such country, nor shall LICENSEE thereafter
have any further right in said Patent Right in such country.

               6.3      All inventions conceived or discovered under the
Sponsored Research Agreement or the New Sponsored Research Agreement, by
PRINCETON, USC or MICHIGAN, or jointly by any of them, shall automatically
become subject to this License Agreement. PRINCETON, USC and MICHIGAN shall use
reasonable efforts to ensure that applications within the Patent Rights are
promptly filed and prosecuted.

               6.4      LICENSEE has the right to make of record in the Patent
Office for each patent or application in the Patent Rights that it is the
exclusive licensee of such rights.

      9.     LICENSEE hereby expressly acknowledges that Michigan is entitled to
be indemnified by LICENSEE to the full extent that each of PRINCETON and USC is
entitled to be so indemnified under Article 10.2 of the Agreement.      

  10.     Paragraph 9.5 is hereby amended by adding “reasonably” prior to
“possible.”      

  11.     Paragraph 10.3 is hereby amended by substituting “LICENSEE” for
“PRINCETON” where it appears in quotation marks in the seventh line of said
paragraph.      

  12.     For purposes of the Agreement, MICHIGAN’s business address and address
for notices under Paragraph 14.1 shall be as follows:

              Office of Technology Transfer

      University of Michigan

      3003 S. State Street, Suite 2071

      Ann Arbor, MI 48109-1280

      Attn: Director

      13.     The following new Section 15.2 is hereby added to the Agreement:

               15.2           PRINCETON, USC, and MICHIGAN have entered into an
Interinstitutional Agreement, incorporated herein by reference, whereby,
inter-alia, PRINCETON shall be the manager of this License Agreement and USC
shall be the manager of the New Sponsored Research Agreement, and LICENSEE shall
interact with PRINCETON and USC respectively, on behalf of themselves as well as
MICHIGAN, on all matters respecting those agreements.         14.      Except as
specifically modified by this Amendment No. 2, all of the provisions of the
Agreement are hereby ratified and confirmed to be in full force and effect, and
shall remain in full force and effect.

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IN WITNESS WHEREOF, the parties, by their duly authorized representatives, have
entered into this Amendment No. 2 effective as of the date first set forth
above.

The Trustees of Princeton University    The University of Southern California   
                  By: /s/ John Ritter   By: /s/ Todd Dickey

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          Name: John Ritter   Name: Todd R. Dickey

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          Title: Director, OTL   Title: Sr. V.P. Administration &

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         General Counsel  

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          Date: May 1, 2006   Date: May 2, 2006

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The Regents of the University of Michigan    Universal Display Corporation     
                By: /s/ Kenneth J. Nisbet   By: /s/ Steven V. Abramson

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          Name: Kenneth J. Nisbet   Name: Steven V. Abramson

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          Title: Executive Director   Title: President

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  UM Technology Transfer      

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          Date: April 28, 2006   Date: May 2, 2006

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