The laser direct patterning technique is one of the new methods of direct etching process to replace the conventional photolithography. In this experiment, a Q-switched diode-pumped Nd: YVO4 (lambda = 1064 nm) laser was used to produce the indium-tin oxide (ITO) patterns with a complex T-shaped structure on glass substrate. The results showed that the overlapping rate of laser beam had a major effect on the quality of the edge of the ITO electrode. When the overlapping rate was about 75%, it was possible to obtain optimum linearity in the edge of patterned ITO electrode. By using the optimum conditions of 75% overlapping rate, 500mm/s scanning speed, and 40 kHz repetition rate, an alternative current plasma display panels (AC PDPs) with T-shaped ITO electrode was fabricated and characterized. The discharging results showed that the AC PDPs with the laser ablated T-shaped ITO electrode had a better discharging characteristics compared to the conventional sample with wet-etched stripe-type ITO electrode. Crown Copyright (C) 2010 Published by Elsevier B. V. All rights reserved.