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Micron agreed to take over Qimonda; competition among DRAM manufacturers intensifies

Taiwanese sources familiar with the situation say the takeover of Qimonda has been largely resolved.

Recently released financial report from Micron shows losses close to $ 344 million for the last quarter. Doll. The company has suffered losses for the seventh consecutive quarter. However, the losses did not prevent Micron from reaching an agreement with Qimonda. According to the source, all that remains is to wait for the official announcement of the deal.

After the merger of Micron and Qimonda, the four largest DRAM manufacturers will look like this: Samsung Electronics, Hynix, Elpida Memory and Micron.

Interestingly, Samsung ignores the ongoing industry downturn, accompanied by protracted price cuts, and does not cut production. On the contrary, the South Korean manufacturer is taking advantage of the situation and intends to increase production volumes in order to oust as many competitors from the market as possible. Hynix’s strategy is to maintain market share, while Elpida expects to ride out the storm with the help of Powerchip Semiconductor Corporation (PSC) and Rexchip Electronics. The successful implementation of Micron’s takeover plan will allow the manufacturer to gain the headroom it needs to weather hard times, industry sources conclude.

Source: DigiTimes

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