Technically difficult to break through the tournament Plath wants to sell a subsidiary of MRAM

Before the game Plath semiconductor company (Cypress Semiconductor) announced plans to sell its specialized supply magnetoresistive random access memory (MRAM) a subsidiary of Silicon Magnetic Systems (SMS).

CEO T.J. Rodgers game of the Plath said: "after three years of unremitting efforts, we have in January to seven OEM vendors provide the function of the MRAM sample. As we concluded in the January 27 quarter held claims on a conference call that the three customers are still at the stage of validation the evaluation process, the other four are very satisfied to our product features."

Rodgers continues: "we started off in the MRAM business to sell it, seemingly contradictory. But in fact, through a series of events and observations, we think this is the most favorable for Plath's shareholders."

"Match Plath provide samples of the products are 256KB and MRAM, the product can match Plath in the past 15 years has sold tens of millions of static random access memory (SRAM) products are pin to pin compatible. We know some companies will buy the game Plath 256KB SRAM, and the battery with battery backup, developed a so-called SRAM, so as to keep the data during. The battery backup SRAM, and products with non-volatile SRAM attributes related can be used in mass storage systems such as cellular base stations and other equipment, these devices must restart properly after disconnection. These non volatile SRAM annual sales of approximately $40 million. Our strategy is to first make our MRAM technology in these products to achieve commercialization, then to the battery backup MRAM market development, and then added to our products and continue to grow."

Rodgers MRAM said: "we continue to plan the second stage is the development of high density MRAM series, its density ranges from 4 to 64 mbit. This part of the MRAM market is far more than the battery backup SRAM market, part of the reason is that if the MRAM cost can be reduced to SRAM and the same cost, it may take some market share from the market standard SRAM billions of dollars. Our battery backup MRAM unit utilizes each of the three transistors with two magnetic channel contacts (3T-2MTJ). In the high density of MRAM, customers simply switch to a simpler, more intensive 1T-1MTJ component (cell) to obtain significant economic effects. The 1T 1MTJ component than 3T-2MTJ component is more difficult to design and manufacture, the development of Cypress 3T-2MTJ is designed to address the problems faced in the design and manufacture of MRAM in the process of commercialization, although some of the world's most outstanding semiconductor company has invested tens of years of work, but has not yet been satisfactorily resolved this problem.

"Based on our match Plath's latest statistics, we no longer believe that 1T-1MTJ MRAM technology can be successfully attacked SRAM market, so that MRAM continues to maintain a product technology price is higher than SRAM. Although the MRAM business may be a source of profit in the Cypress product line, there are still more attractive areas for us to invest in compared with the capital intensive MRAM business. For example, this quarter, our SunPower solar cell business revenue is expected to be $10 million, its growth rate far exceeded our highest expectations for MRAM business."