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Big Blue begins DRAM manufacturing exit strategy

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IBM has pulled out of its Dominion Semiconductor DRAM fab joint venture with Toshiba, according to Japanese business daily Nihon Keizai Shimbun. Sources cited by the paper claimed IBM has agreed to sell its share in Dominion to Toshiba for Y20-30 billion (approx. $165-250 million). Neither party would confirm the reports, but an official statement on the deal is expected to be made later today. IBM still has other DRAM production facilities around the globe, so this is hardly a sign of the company's immediate exit from the market. That said, chairman Lou has often said the company needs to move away from such low-margin business. ®

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