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QTC is most commonly used as the touch reactive layer in most modern smart devices; it is mainly used by smartphones such as the Iphone, or Nokia. The material itself is a dark grey sheet of metal covered in small markings, although you're unlikely to see it outside of a product.
In effect, it is a composite made from micron-sized metallic fiber particles (Silicone Rubber) mixed into an elastomeric matrix. To explain what it does in layman's terms; in its normal state it is a near perfect insulator, but when compressed it becomes a more or less perfect conductor (able to pass high currents.)
QTC or "Quantum Tunneling Composite", is a type of flexible polymer that exhibits an electrical property; it changes from insulator to conductor when compressed. Operating at the quantum level, electrons on one side of the insulative barrier appear at the other -- they can also be made as pills, for a variety of applications.