Nanya technology proposed $1 billion 500 million investment with advanced 300mm chip factory

According to foreign news reported on November 29th, Taiwan memory chip maker Nanya technology plans to start in the first quarter of next year the company started construction of the first advanced 300mm chip production factory, is expected between initial investment of NT $40 billion and NT $50 billion (US $1 billion 500 million).

Pei-Lin, vice president of South Asia, said Pai, we will be completed next year, the plant framework, and plans to start production in the middle of next year."

This investment is only the first phase of the new plant project, the goal is to make the plant capacity of 24 thousand wafers per month. The chip is made of 300mm silicon chip, according to the different chip structure, each chip can be made into hundreds or even thousands of chips. Take the South Asian Science and technology DRAM business, each 300mm silicon chip can be made into several thousand chips. The larger 300mm new plant will replace the old 200mm chip factory, because of the larger size of the chip to reduce the cost of chip production is critical.

ABN AMRO Asia Securities Co. analyst Crystal said that in 2007 the new factory production will affect the entire DRAM market. The company expects next year DRAM market oversupply, but due to the tight supply of chips led to price increases, while the whole market will rebound. Crystal pointed out in a survey, the new plant in South Asia to help ease the market supply situation.

South Asia science and technology program in the new plant using 70 nanometer production process, which is much more advanced than most of the current DRAM manufacturers using the 90 nanometer technology. Chip technology is widely used as a unit of measurement. Manufacturers strive to reduce the size of the chip is smaller and more powerful, because if the chip becomes smaller, the same chip on the chip to produce more, thus reducing the cost of production.