Feeds

Apple places massive DRAM order at Elpida plant - report

Memory-hungry fondleslabs and iPhones the culprits

Combat fraud and increase customer satisfaction

Apple has taken a punt on bankrupt Japanese DRAM manufacturer Elpida, placing orders for a whopping 50 per cent of the firm’s production of chips at its Hiroshima facility, according to Digitimes.

Industry sources told the Taiwanese tech title that Cupertino is keen to source the DRAM chips from Elpida to power upcoming iPhone and iPad models.

DRAM manufacturers have been forced to endure falling prices for some time now, so Apple’s investment will be a welcome boost to Elpida and the firm most likely to take ownership of it, Micron.

The US memory giant is reportedly bidding $2.5bn for the ailing Japanese firm after rivals SK Hynix and Toshiba both declined to pursue deals. Elpida is said to have debts in excess of $5.5bn.

With Elpida on board and a huge Apple contract in the bag, Micron would happily leapfrog Korean giant Hynix to second place in an industry dominated by Samsung, which has more than half of the market.

In what is set to be another tough year, the growth of mobile computing represents a ray of hope for DRAM manufacturers in the face of increasing price pressures.

Analyst IHS iSuppli predicted in January that tablet computers would need 1 billion gigabits of DRAM in 2012 – nine times more than the previous year. The figure will rise to 3.5bn by 2014, said iSuppli.

However, as we've mentioned previously, things could still go titsup for DRAM suppliers if tablets begin to cannibalise other markets such as netbooks and desktops, leading to a drop in overall demand. ®

Combat fraud and increase customer satisfaction

More from The Register

next story
This time it's 'Personal': new Office 365 sub covers just two devices
Redmond also brings Office into Google's back yard
Kingston DataTraveler MicroDuo: Turn your phone into a 72GB beast
USB-usiness in the front, micro-USB party in the back
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
BOFH: Oh DO tell us what you think. *CLICK*
$%%&amp Oh dear, we've been cut *CLICK* Well hello *CLICK* You're breaking up...
AMD's 'Seattle' 64-bit ARM server chips now sampling, set to launch in late 2014
But they won't appear in SeaMicro Fabric Compute Systems anytime soon
Amazon reveals its Google-killing 'R3' server instances
A mega-memory instance that never forgets
Cisco reps flog Whiptail's Invicta arrays against EMC and Pure
Storage reseller report reveals who's selling what
Microsoft builds teleporter weapon to send VMware into Azure
Updated Virtual Machine Converter now converts Linux VMs too
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.