Sat, Dec 20, 2003 - Page 11 News List

Hynix signs memory chip agreement with ProMOS

BLOOMBERG AND AFP , TAIPEI AND SEOUL

Hynix Semiconductor Inc, the world's third-largest maker of computer-memory chips, said it signed a preliminary agreement with ProMOS Technologies Inc (茂德科技) to develop memory chips.

Under the agreement, Hynix of South Korea will give access to some of its chip-manufacturing technology to ProMOS, Hynix said in an e-mailed statement. In turn, ProMOS will give Hynix access to its plants, the statement said. No money will change hands under the agreement, ProMOS vice president Albert Lin (林育中) told a press conference in Taipei.

"The new alliance will represent nearly one quarter of the world's DRAM (Dynamic Random Access Memory) output," Hynix said in a press release.

"Hynix and ProMOS also plan to collaborate in the development of next-generation process technologies," it said.

Hynix and ProMOS are betting that by joining forces, they will be able to compete against larger rivals such Samsung Electronics Co and Micron Technology Inc. Market leader Samsung and Micron had 51 percent of the US$15.5 billion computer-memory chip market last year, according to market researcher Gartner Inc.

"In order to advance, ProMOS has to find a partner," said Joyce Yang, who writes forecasts of chip prices at DramExchange.com, a Taiwan-based market for chips.

"Hynix is not in good financial health either," she said.

Hynix will use ProMOS' second 300mm chip plant which will start production by the end of 2005, Lin said. Hynix will be ProMOS' future supplier of so-called stacked technology, he said.

Chen Min-liang (陳民良), president of ProMOS, praised Hynix, a major DRAM maker, for its "sustainable research and development, and a highly dedicated management team with a clear focus on semiconductors."

"The alliance forged between Hynix and ProMOS advances both parties into a new phase of viable long-term growth. We envision enormous benefits to both our clients and ourselves," Chen said.

This story has been viewed 3041 times.

Comments will be moderated. Keep comments relevant to the article. Remarks containing abusive and obscene language, personal attacks of any kind or promotion will be removed and the user banned. Final decision will be at the discretion of the Taipei Times.

TOP top