Feeds

Infineon beats up Mosel-Vitelic

'Repeated breach of contract'

  • alert
  • submit to reddit

Infineon is cancelling its shareholder's agreement ProMOS DRAM foundry JV, citing "repeated material breach of contract" by Mosel-Vitelic, its Taiwanese partner.

So what is this alleged material breach? Infineon ain't telling, but it says it gave prior warning to Mosel-Vitelic. (This EE Times piece offers some theories over the fall-out.)

Under the terms of the shareholder agreement, ProMOS has to find 10 per cent of the business for the foundry , while Infineon (38 per cent)and Mosel-Vitelic (52 per cent) had to make up the rest According to reports, overspill from Infineon accounted for much of ProMOS' allocation. ProMOS also relies on Infineon IP to produce memory chips. With the shareholder agreement terminated, Infineon no longer has to commit to volume levels. Luckily for ProMOS, Infineon says it will renegotiate a new product supply contract.

Infineon says it remains committed to ProMOS: the same cannot be said to working with Mosel-Vitelic. ®

Infineon press release

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.