Thu, Jun 28, 2007 - Page 12 News List

Winbond continues Qimonda transfer

By Lisa Wang  /  STAFF REPORTER

Chipmaker Winbond Electronics Corp (華邦電) said yesterday it would continue transferring advanced technologies from its German partner, Qimonda AG, to make computer memory chips.

Hsinchu-based Winbond said it signed an agreement with the German chipmaker for transferring 75-nanometer and 58-nanometer technologies to make dynamic random access memory (DRAM) chips.

In exchange, Winbond will supply an unspecified amount of DRAM chips to Qimonda, the Taiwanese company said.

"With the advanced technologies, Winbond will be able to make niche memory chips used in consumer electronic gadgets to meet rapid demand for communications products," Winbond chief executive James Wen (溫堅) told a press briefing.

In 2004, Winbond inked a pack with Infineon Technologies AG to transfer 90-nanometer technology to the former for making computer chips. Last year, Qimonda, a spin-off memory unit of Infineon, extended the cooperation to transfer 80-nanometer technology.

"The expansion of the cooperation aims to further strengthen our production capabilities and flexibility," Qimonda chief operating officer Thomas Seifert said in a statement.

Winbond will produce approximately 10,000 wafers per month at its 12-inch factory using Qimonda's 75-nanometer technology starting in the middle of next year, Wen said.

"Since the advanced technology will allow us to make bigger wafers and cut more chips, we hope it will lift our revenues," Wen said.

Computer chips supplied to Qimonda account for 50 percent to 60 percent of Winbond's total revenues, Wen said.

DRAM chips account for half of the company's revenues, while logic chips account for the other half.

The company's net income almost tripled to NT$358 million in the first quarter from NT$124 million during the same period last year.

Because DRAM prices plunged more than 50 percent to below most players' cost level in the first half, “we are cautious about the second quarter's earnings. Almost all players are struggling,” Wen said.

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