Inotera Memories started manufacturing DRAM chips used in servers in May 2011, ahead of the originally scheduled second half of the year, according to company president Charles Kao. Non-PC use products are expected to account for 50% of its total revenues at the end of 2011, said Kao.
Inotera finds it necessary to move towards server DRAM and other non-PC memory products to diversify, as focusing on conventional DRAM cannot sustain the growth and profitability of the company, Kao indicated. Prices for server DRAM, for instance, are 30-50% higher than those for conventional PC-use products, Kao added.
Inotera now uses 50nm process technology to make server DRAM mainly 2Gb chips, Kao said. The company is also migrating to a 40nm process for PC DRAM manufacturing, and will start 3Xnm pilot runs in the third quarter, according to Kao.
Inotera posted net losses of NT$4.04 billion (US$141 million) in the first quarter of 2011, which marked the fifth straight quarterly loss for the company.
Inotera is a DRAM-manufacturing joint venture between US-based Micron Technology and Taiwan's Nanya Technology. It now has a monthly capacity of 130,000 12-inch wafers split equally between the two investors.
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