Thursday, June 23, 2011

Elpida and Micron will they join forces?

Elpida, Micron and Nanya are in talks to decide to unite against Samsung for the production of DRAM. Several analysts have arrived at this conclusion DigiTimes reports that the new one. Specifically Elpida could join Inotera, a joint venture formed by Micron and Nanya, as an acquisition of shares held today by Formosa Plastics Group.

Micron and Elpida have not generally used to working together. In late 2008, early 2009, DigiTimes reports that they had tried to unite, but the negotiations failed because of disagreement about the monetary aspect of the partnership. In mid-2009, the market for DRAM has taken color with rising prices and the two companies decided to leave the negotiating table.


However, since June 2010 prices are falling and if the Japanese earthquake has increased prices due to the slowdown in production, it should be short-lived (see "Price of RAM shaken by the earthquake? "). According to figures from DRAM eXchange on June 23, 2011, prices have also started to fall.

A union between Micron, Elpida and Nanya would allow manufacturers to reduce production costs by sharing resources, allowing them to deal with price changes. It is also a pivotal time for the founders of DRAM that are preparing to burn in 25 nm. This is a very expensive process for companies.

Adding Elpida could ease the transition.

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