Feeds

NEC cedes Hiroshima fab control to Elpida

Retains ownership

  • alert
  • submit to reddit

Elpida has taken control of NEC's Hiroshima fab and will spin the management operation off as a subsidiary company, Hiroshima Elpida, on 1 September.

The central facility of the Hiroshima plant is its 200mm wafer production lines, which Elpida will lease from NEC - which, with Hitachi, is one of Elpida's parent companies.

Crucially, it's also the site for Elpida's 300mm wafer work, for which the company has been pursuing investment funding. To date, the company has won $50 million from Kingston Technology and $100 million from Intel, in addition to $430 million from other, unnamed sources.

The deal allows Elpida to take control of its key fab operations, an important move given its goal to become one of the world's top three DRAM producers through a strategy of focusing on high-end products,

The Hiroshima plants 1360 employees will join the Elpida subsidiary, which will pick up NEC's internal chip production contracts. Elpida expects the plant to generate revenue of ¥130 billion ($1.11 billion) come the company's 2005 fiscal year. ®

Whitepapers

A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.