Elpida develops new DRAM for smart phones
Elpida Memory has developed a 4gigabit DRAM chip for smart phones, joining bigger rival Samsung Electronics as the only producers of the large capacity power saving memory chip.
The world's third largest manufacturer of DRAM chips will commence production of the new chip in June and, according to Elpida spokesman Hideki Saita, aims to generate $1.2billion of sales in the 2012/13 business year. That equates to about one fifth of Elpida's annual sales for the financial year ended last month, according to analyst estimates.
"This is a growing market and the chip will enjoy healthy demand," said Yuichi Ishida, a senior analyst at Mizuho Investors Securities. "The production of 4gigabit DRAM chip will certainly make a positive contribution to its earnings."
Saito said Elpida would start supplying the chip to its main clients as early as this summer, and that it planned to begin production in Taiwan as well to diversify its geographical risk.
