Elpida, Powerchip to invest $13.9B in DRAM venture
112337
(InfoWorld) - Japanese memory chip maker Elpida MemoryÂ and Taiwan's Powerchip SemiconductorÂ have announced a broad plan to invest $13.9 billion over five years to build four new DRAM factories in Taiwan. The investment, announced Thursday, will go into a new joint venture company that does not yet have an English name. The new company will open early next year in an advanced 12-inch chip factory Powerchip started building in central Taiwan earlier this year. In coming years, the joint venture company will build three more DRAM (dynamic-RAM) factories on the island, with output reaching 60,000 silicon wafers per month each, for total planned capacity of a massive 240,000 wafers. Thousands of DRAM chips can be made on each wafer. The investment means the companies are confident in the future of the DRAM industry and in their ability to compete against market leader Samsung Electronics. In fact, Elpida Chief Executive Officer Yukio SakamotoÂ pledged to surpass SamsungÂ in terms of DRAM market share within three years. The DRAM industry isÂ ripe for new factories. Most companies in the business have invested in non-DRAM production lines in recent years, mainly NAND flash memory, which is popular in digital cameras and iPods. ButÂ DRAM prices have surgedÂ recently due to strong PC sales, and the launch of Microsoft Windows Vista is expected to keep DRAM prices strong over the next several months due to strong anticipated PC demand and the greater memory content required by Vista compared to Windows XP. The two companies intend to marry Elpida's technology prowess with Powerchip's low cost manufacturing know-how, said Frank Huang, chairman of Powerchip. The companies will be even partners in the venture, each putting in their half of the value of investment, and each deriving half of the production from the new company. Elpida had beenÂ looking at four possible investment locationsÂ before deciding to partner with Powerchip in Taiwan. The company's CEO traveled to China to visit manufacturing partner Semiconductor Manufacturing International Corp. (SMIC) of Shanghai, in addition to scouting locations in Japan and Singapore. Despite better incentives offered by the Chinese government, Sakamoto said his company's relationship with Powerchip and Taiwan's superior infrastructure swayed Elpida's final decision. "Yesterday, Powerchip and Elpida had a very friendly relationship, but today we became a family," said Sakamoto. The two companies have been working together for over four years. Elpida will continue to use SMIC as a manufacturing partner in China, he said. Elpida and Powerchip will initially invest NT$40 billion to get the first DRAM factory up and running. They expect to move production line equipment into the factory by May 2007 and start mass production in August. The joint venture company will begin life with the latest production technology thanks to Elpida, etching transistors and other parts on silicon at the tiny size of 70-nanometers. A nanometer is a billionth of a meter. Powerchip will take charge of daily operations and staff the factory. By the time the fourth plant is finished, Powerchip reckons it will have hired 8,000 new workers for the joint venture. Elpida and Powerchip will also co-invest in research and development, they said. Their technology pact will ensure joint development down to the 50nm level and beyond. The companies plan to sign a final agreement on the joint venture in January.
464960
(InfoWorld) - The head of Japanese memory chip maker Elpida Memory held talks with Taiwanese officials last week about incentives for building a chip factory on the island. Yukio Sakamoto, Elpida's chief executive officer met with the company's foundry partner in Taiwan, Powerchip Semiconductor, as part of his visit to the island, but Elpida says it has made no decisions yet, a spokeswoman for the company said Tuesday. Elpida is considering an investment in either China, Japan, Singapore, or Taiwan, and could work with a partner in a joint venture or go it alone, said Tomoko Kobayashi a spokeswoman at Elpida. Powerchip declined to comment. Such a deal would be huge for the winning location, because modern DRAM (dynamic RAM) factories cost around $3 billion and employ thousands of workers. China and Taiwan both have advantages because Elpida already works with partners in both places, Semiconductor Manufacturing International Corp. of Shanghai and Powerchip. Singapore would also rate highly since it's been labeled one of the best locations in the world for a chip plant investment due to its tax breaks and other incentives. Japan would have home field advantage. The DRAM industry is also ripe for new factories. Most companies in the business have invested in non-DRAM production lines in recent years, mainly NAND flash memory, popular in digital cameras, mobile phones, and iPods. But DRAM prices have surged recently due to strong PC sales, and prices are expected to remain strong over the next several months onÂ anticipated PC demandÂ from the launch of Microsoft Windows Vista. In fact, the spot price of the most popular chips, DDR2 (double data rate, second generation) chips, hasÂ surged 15 percentÂ over the past three days, according to DRAMeXchange Technology Inc., an online clearinghouse for the chips.
730504
The chip maker now expects revenue of between $8.3 billion and $8.6 billion due to lower-than-expected worldwide demand for its processors as well as "customer reductions in component inventory levels."
438941
Both GPUs built on TSMC's 110nm process, reportedly
101254
A new computer chip developed by Intel promises to perform calculations as quickly an entire data center, while consuming as much energy as a light bulb. By the Associated Press.
377898
The chip maker has announced a tiny drive that could help bring the power of desktop computers to handheld devices.
577956
Toshiba Corp (6502.T) said on Tuesday it  would join a group led by International Business Machines Corp   to develop system chips using 32-nanometre circuitry,  as chip makers increasingly team up to cut development costs.
604240
(InfoWorld) - The global chip market is suffering from falling prices in microprocessors and memory chips, bad news for companies but great for users. Steep declines in DRAM (dynamic RAM) for PCs and NAND flash memory, used in a variety of gadgets including digital cameras and iPods, as well as microprocessors prompted the Semiconductor Industry Association (SIA) to slash its global sales forecast for this year to US$252 billion, just 1.8 percent growth compared to last year. The previous estimate called for sales growth of 10 percent this year. Sales of gadgets themselves are on track to meet forecasts, however, SIA said. Chip shipments overall remain healthy, as does end-user demand. But prices continue to fall for a variety of reasons, including a glut in the memory market and a price war between Intel Corp. and Advanced Micro Devices Inc. in microprocessors. "End markets continue to be strong, with consumers realizing major benefits from lower chip prices coupled with ever-increasing performance and functionality from advances in chip technology. Despite a forecast of slower growth, we expect that global sales of microchips will surpass last yearâs record level," the SIA said in a statement on Wednesday. Intel and AMD have been battling each other through price reductions for over a year now, and reports indicate that Intel will cut prices on some microprocessors again in late July. The price war has been good to consumers, delivering more technically advanced microprocessors at a lower cost. Microprocessors are generally the most expensive chip inside a PC. The DRAM market has been hit the worst. The price of mainstream 512M-bit second-generation double data rate (DDR2) DRAM that runs at 667MHz has plunged 72 percent so far this year to US$1.79 per chip, according to DRAMeXchange Technology Inc., a Taiwanese clearinghouse for the chips. The market research division of the company has noted that the chips appear to be bottoming out, and that prices could tick up a bit later this month. DRAM price reductions for users normally come a few weeks or a month after the spot DRAM market falls. NAND Flash memory has suffered a similar fate as DRAM, but not quite as steep a decline. A glut of the chips early in the year has been wiped out by memory makers, which tweaked production lines to make more DRAM instead of NAND flash. Prices of 8G byte NAND has fallen 18 percent his year to US$9.26, according to DRAMeXchange, while the 4G byte capacity has dropped nearly 15 percent to US$5.69. The SIA expects PC and mobile phone sales to rise 10 percent each this year. Mobile phone sales may give chips a bigger boost, however, because users are buying more 3G (third generation communications) handsets, which contain more chips than older phones. Sales of personal media players and digital music players are expected to grow by more than 20 percent this year, SIA said, but noted that price competition in the market will likely keep NAND flash chip prices tame. The SIA report followsÂ a similar estimation of the global chip industry by Gartner. A few weeks ago, the market researcher lowered its forecast to just 2.5 percent growth to US$269.2 billion this year, down from an earlier estimate of 6.4 percent. Â ADVERTISEMENTIBM Information On Demand 2006Industrial Industry Leaders, please join us at IBM's premier information management global event, IBM Information On Demand 2006, October 15-20, Anaheim, CA. More IBM business and technical solutions content in one place than ever before! Select from  over 800 sessions. Register today!
377547
Montalvo Systems has a multiple-core chip, but not all of the cores are the same. That in part explains why investors have put money into it.
735740
Computer memory chip maker Micron  said on Wednesday it had indications that demand for DRAM  memory chips, used mainly in personal computers, would be  robust enough to soak up rising supply in 2005.
374865
German memory chip giant Qimonda AG on Thursday announced a five-year pact to develop several types of non-volatile memory technologies with Macronix International, known for the memory chips it supplies to Nintendo&#39;s popular Wii game consoles.Non-volatile memory, such as flash memory chips, retains data after power has been shut off. Volatile memory, such as DRAM (Dynamic RAM), loses data when its power source is turned off.Qimonda will bring its expertise in chip engineering and manufacturing to the partnership, while Macronix will add its flash memory know-how, according to the statement.Projects related to the pact will take place at Qimonda&#39;s facilities in Dresden, Germany. Macronix is a Taiwanese company.Costs will be split between the two companies, but Qimonda did not offer an estimate for the possible size of the investment.
289249
It looks like a partnership between AMD, IBM, Sony and Toshiba has produced a new technology which allows faster transistor speeds with the same energy consumption.
388574
Intel&#39;s venture-capital arm has invested in Nirvanix, a San Diego start-up company that offers a scalable online storage service.Intel Capital said Wednesday it had invested an undisclosed amount in Nirvanix, which in turn expects to benefit from access to technologies that can improve its service and expand the number of storage nodes it owns.At the heart of its service is an API (application programming interface) called Nirvanix Web Services that allows developers to incorporate the online storage service in their applications, and can be used by companies to store application data. That service charges customers a monthly rate of $0.18 per gigabyte of data that is stored or transferred. The API allows developers to control the amount stored and the bandwidth made available to the application.In addition to Intel Capital, Nirvanix investors include Mission Ventures, Valhalla Partners, and Windward Ventures.
228829
Intel Corp . will invest about  $219 million for a stake in VMware Inc. and a seat on the board  of the Silicon Valley software company that parent EMC Corp.   is taking public, the companies said on Monday.
125989
Samsung Electronics Co. Ltd. , the world's biggest maker of memory chips, said on Monday it would invest 938.8 billion won ($1.01 billion) to upgrade its memory chip production lines.
577475
Three more Taiwanese chip makers plan to&#160;spend significantly less money on new factories and equipment&#160;this year as a DRAM (dynamic RAM) glut and uncertainty about the global economy weigh.Lower capital spending forecasts in the chip industry are a sign the global IT industry is on edge about future demand. Analysts have expected DRAM makers to cut back on spending for a long time due to&#160;falling chip prices. Prices for mainstream DDR2 (double data rate, second generation) chips remain below production costs, and most DRAM makers have reported losses for the fourth quarter.Powerchip Semiconductor, Taiwan&#39;s largest memory chip maker, Wednesday said it plans to spend NT$35.1 billion (US$1.09 billion) on new chip factories, technology and production line equipment this year, less than half the NT$86.3 billion it spent last year.Powerchip&#39;s smaller rival on the island, ProMOS Technologies, also more than halved its projected 2008 capital spending to US$800 million, down from US$1.84 billion last year. The company also put the expansion of its fourth 12-inch factory on hold pending a rebound in the DRAM market.United Microelectronics (UMC), the world&#39;s second largest contract chip maker, forecast its 2008 capital spending at US$500 million to US$700 million, down from US$900 million last year.The company&#39;s customers have turned cautious due to global economic worries, said Jackson Hu, CEO of UMC, at an investors&#39; conference in Taipei on Wednesday. The company forecast its chip shipments will decline as much as 15 percent in the first quarter, compared to the fourth quarter of last year as chip demand weakens, particularly for communications chips.Global semiconductor equipment spending is forecast to fall 9.9 percent to US$40.3 billion this year, from US$44.8 billion last year, according to Gartner. The market researcher blamed over-investment by DRAM makers in 2007 for the cutback in semiconductor capital spending this year. Concerns about a U.S. economic recession have also put chip makers in a cautious mood, Gartner said in a report published early this month.&#160;
272451
Rambus, the memory chip technology developer, is looking to the future world of multimedia as the way for its XDR memory chips to find their way into more mainstream products.The memory technology is currently used mainly in game consoles, but Japanese DRAM (dynamic RAM) maker Elpida Memory unveiled a speedy DRAM chip based on XDR technology, the 512Mb, 4.8GHz XDR DRAM. The chips are aimed at game consoles, HDTVs (high-definition televisions), PCs, servers and workstations.But one knock against the company is that while its products may be used in some high end applications, they have not trickled down into the mainstream because they cost too much compared to DDR2 (double date, second generation) DRAM and other technologies. Regardless, Rambus CEO Harold Hughes, sees 2008 as a breakout year for Rambus technology to enter higher volume production as it wins over some HDTV clients.He said people should also be on the lookout for XDR technology to make some headway into cellular phones and other mobile devices.Hughes was in Taipei for the Rambus Developer Forum, and discussed new products in an interview with IDG News Service (IDGNS).IDGNS: What are the major product areas Rambus will focus on in the next year for its XDR memory technology?Harold Hughes: I think 2008 will see a few big [technology trends] moving forward in computers, HDTVs and the game players, and some of the neatest stuff will come out on cell phones. Those are four markets where Rambus is well positioned, so we hope to have a great year.IDGNS: What is Rambus working on in the mobile market? Handsets, ultramobile PCs?Hughes: Consumers want everything that they have on a desktop in one of these things (he holds up an iPhone) and obviously the bandwidth requirements are very, very high relative to what used to be the case for a simple little phone, and all that needs to be supplied at incredibly low power. Well, we&#39;ve made what I think are some astonishing breakthroughs in low-power technology that are in many cases as much as 80 percent over existing technology. In applications where you&#39;re using full motion videos (TV on mobile phones) much lower power with full motion videos.We&#39;re looking forward to making our mark in the low-power and mobile market. Our approach will be to use the bandwidth cores available with XDR, but to use our very low power interfaces to drive those, and to do that not only through our suppliers but also to look to some of the major players in the cell phone industry to bring them to market in 2008 or 2009. It most likely won&#39;t be XDR as we know it, but it might be derived from XDR. It has to be high bandwidth and extremely low power and it has to have low packaging cost.IDGNS: Can you give an idea of what you mean by low power?Hughes: We have introduced some very interesting low-power technology. We put out a [research paper] and we showed that we could deliver 2.2Gbps at 100 milliwatts. Mind-bogglingly low, 2.2 milliwatts per gigabit per second. We could run it off two-double AA batteries. The joke we was that we would try to get it to run off of a potato. We passed 3,600 terabits of data through our interface with two-AA batteries, which is the equivalent of 100 DVDs.IDGNS: Why do you think XDR fits the HDTV market?The XDR products are doing very well in the gaming products and we&#39;ll talk about the HDTV market. It&#39;s truly amazing the kind of compute requirements there, but it&#39;s also a consumer electronics product so it&#39;s got all the issues of cost and it&#39;s also the size, the electronic migration, the fans and stuff, so it&#39;s really bandwidth per device, and that&#39;s where XDR really stands out, in bandwidth per device. Such that with one or two XDR devices, you can get adequate to deal with the 5-10Gbps of bandwidth these televisions are using. That&#39;s where working with companies like Elpida and other licensees we can have an adequate supply of XDR so we can do great things in the HDTV market.IDGNS: What PC trends will help push more Rambus memory into PCs?Hughes: The new generation of computers is going to have these multiple core processors, which are just driving incredibly attractive and interesting PCs. What&#39;s interesting is the nature of the cores. They are not only standard compute cores, but they are also graphics cores. For us, we&#39;re very happy on multiple levels. That&#39;s going to produce a greater need for memory bandwidth. In particular, the multi-core processors that have compute and graphics have conflicting needs insofar as the memory architecture is concerned. The computing requires capacity and graphics requires bandwidth. Rambus has a product called the XDR which offers multiple gigabytes of capacity and quite remarkable bandwidth, and in fact Elpida has productized a 4.8GHz part, so that&#39;s a pretty speedy product.IDGNS: Rambus appears to be doing well in products at the top-end of the market, such as game consoles, but how is the company working to target the mainstream and lower-cost markets?Keep in mind that we believe that embedded in DDR2 is no small part of Rambus technology and that unfortunately is the subject of lots of litigation and there&#39;s no indication that&#39;s going to stop in the near future. I think that&#39;s always inevitable with our business model. I think that&#39;s almost inevitable given our business model, putting aside the litigation aspects of it. For a 400-person company to have impact and for IP to have value, you must solve problems well out into the future. Those problems are only going to be usable initially be a relatively small subset, but as that then starts to proliferate through more supply and costs come down, then you see those products trickle down to the $200 laptop.I don&#39;t see that that model is going to change. We are working on memories that have truly staggering performance. Initially those will probably be actual parts incorporating as many of our features as possible, but by definition because of their performance there will be a limited number of applications that need it, but X number of years later, not only will those discrete parts become cheaper and likely migrate into higher volumes, but the ingredients in those parts are very likely to go into very low-performance, low-cost applications that are used widely.IDGNS: What else do you see for 2008 that&#39;s big?Hughes: Games will improve dramatically. The software development kits are continuing to improve such that I think games will be able to take advantage of more of the cycles. You know how they CAT scan a brain when its thinking? Well I suspect if they were to do the same thing with a cell processor on current games, it would show that a lot of those transistors aren&#39;t being turned on, especially when you&#39;re using an abstracted development code.Ultimately [game developers] will learn how to directly address hardware more and more and I think you&#39;ll see those games coming out more in 2008 and they&#39;ll probably be spectacular, frankly. Of course, I&#39;ve given up on games. Competing with your son is, well it&#39;s so humiliating. You&#39;re getting killed in a game and you don&#39;t even know what&#39;s going on.