Infineon, Nanya deepen DRAM partnership

Germany’s Infineon Technologies and Taiwan’s Nanya Technology have agreed to expand their joint development of memory chips.

Under a deal announced Thursday, the two chip makers will extend their collaboration in DRAM (dynamic RAM) computer memory chips to include the development of advanced 60-nanometer production technologies for 300-millimeter wafers, starting this month.

The deal extends the companies’ previous co-development of 90-nanometer and 70-nanometer production technologies. It is aimed at helping each partner expand its position the DRAM market while sharing development costs, the companies said in a statement.

The new 60-nanometer production technology will be jointly developed at Infineon’s plant in Dresden, Germany, where Infineon and Nanya began producing chips using 90-nanometer production technology earlier this year.

The first 300-millimeter wafer memory chips using the new 60-nanometer process are expected in 2008, the companies said.

Advances in chip production technology among DRAM makers are a necessary part of their business to ensure cost reductions and the ability to make ever more sophisticated generations of memory chips.

In addition to the joint development of advanced DRAM chips, Infineon and Nanya are partners in Inotera Memories Inc., a manufacturing joint venture in Taoyuan, Taiwan.

News of a deepening partnership comes as rumors in the industry circulate about Infineon possibly selling its DRAM business to Nanya lock, stock and barrel. An Infineon spokesman declined to comment on the speculation.

The Munich-based semiconductor manufacturer, which was spun out of German electronics giant Siemens AG, has been restructuring some of its production activities to reduce operating costs. It recently tried and failed to find a partner for its chip factory near Munich.