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The Toshiba Corporation, a major Japanese chip maker, reversed course today and announced that it would walk away from the commodity memory chip business.
The Boss. [C8.] Toshiba to Exit Commodity Chips Toshiba, the Japanese chip maker, announced that it would exit the commodity memory chip business.
Those companies have reported with some celebration a recent upturn in long-depressed prices for commodity memory chips known as DRAM's and have spoken hopefully of an imminent return to growth and profitability.
Weak demand and excess supply have caused prices for commodity memory chips to crash, and many of the former leaders in the field, including most of the Japanese manufacturers who dominated it in the 1980's and 1990's, have given up trying to slash their labor and material costs deeply enough to make them profitable.
The announcement followed months in which nearly every maker of commodity memory chips announced a merger, sale, joint venture or phaseout of some kind meant to reduce capacity and costs in the face of a glut and price war in the field.
"Renesas is not suited to compete in a commodity memory business".
Similar(45)
The three companies make up the majority of the market for commodity computer memory chips.
Aside from their more famous rivalry in the PC microprocessor business, Advanced Micro Devices and Intel also compete feverishly with each other in the commodity flash memory market.
Profits from Samsung's chip business more than halved to 1.59 trillion won, but the division held up well as its relatively high exposure to lucrative mobile chips helped the firm offset a sharp plunge in prices of commodity computer memory chips.
On the other hand, as-of-today it is possible to build a commodity shared-memory multiprocessor with four sockets that can accommodate 16-core processors each, for a total of 64 cores in a single desktop platform.
Semiconductor Manufacturing International is considered a "trailing edge" company, he said, selling commodity products like memory chips, rather than the more advanced technology sold by Taiwan Semiconductor.
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