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Intel, Micron to Mass Produce 34nm Memory Chips
By: Nathan Eddy
2008-11-25
Article Rating:    / 5
There are 1 user comments on this Midmarket story.
Intel and Micron are teaming up to take on Samsung and Toshiba in the battle for NAND flash memory, used for multimedia storage on consumer products such as iPods and digital cameras. But when falling consumer confidence is taking its toll on the flash memory market, is this the right time for Intel and Micron to invest?A joint venture between Intel and memory maker Micron Technology has
begun production on a 34nm NAND flash memory disk. The venture, called
IM Flash Technologies, should heighten competition with Toshiba and
Samsung Electronics, the world's largest NAND flash memory chip maker.
NAND flash memory is commonly used for multimedia storage on portable
media players. The 34nm, 32 Gb chips are manufactured on 300 mm wafers.
Measuring less than the size of a thumbnail, the chip enables
high-density solid-state storage in small form factor applications,
including digital cameras, iPods and digital camcorders. The tiny
34nm, 32 Gb chip enables our customers to easily increase their NAND
storage capacity for a number of consumer and computing products,
Micron Memory Groups vice president Brian Shirley said in a statement.
The creation of this new company supports Intels intent to maintain
its industry-leading position in nonvolatile memory and enables us to
rapidly enter a fast-growing portion of the flash market segment,
Intels president and CEO Paul Otellini said in a statement. Despite
Otellinis statement, a recent report by market research firm iSuppli
found the NAND flash market is feeling the effects of a weakened global
economy, and will cause revenue declines in 2008. A slim rise in
revenue over 2007s $13.9 billion intake is expected, though the report
was released before the worsening of the financial crisis this fall.
Worldwide, iSuppli projects NAND flash revenue will decline 14 percent
in 2008 and fall another 15 percent in 2009.
Intel and Micron also announced that they have each entered into
separate long-term agreements to supply Apple with a significant
portion of each of their share of IM Flash Technologies NAND flash
memory output. As part of these agreements, Apple would prepay $250
million each to Intel and Micron. We are extremely pleased to have
Apple broaden its relationship with us, Otellini said.
The companies also released information on the ventures management
team, which will be led by Intels Dave Baglee, who previously served
as manager of Intels Fab 11 in New Mexico, and Microns Rod Morgan,
who most recently served as manager of Microns fabrication facility in
Manassas, Va.
Both companies said they also plan to begin sampling lower density
multi-level cell (MLC) and single-level cell (SLC) products using the
34nm process technology in early 2009.
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