SMIC Stops DRAM Production Entirely
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[January 25, 2010]

SMIC Stops DRAM Production Entirely

SHANGHAI, Jan 25, 2010 (SinoCast Daily Business Beat via COMTEX) -- Semiconductor Manufacturing International Corp. (SMIC, NYSE: SMI and SEHK: 0981), a chip OEM headquartered in Shanghai, east China, has entirely ceased its dynamic random access memory (DRAM) production operations since this January after its new chief executive officer (CEO) David N. K. Wang took office.



The cease involves not only the chip factories of SMIC, but also the controllable production capacity in its joint ventures, such as Chengdu Cension Semiconductor Manufacturing Corporation and Wuhan Xinxin Semiconductor Manufacturing Corporation.

In the past two years, SMIC had been producing synchronous dynamic random access memories (SDRAMs) so as to make full use of its production capacity. As a result, it had become the largest domestic SDRAM provider in the market of consumer electronics products, including home appliances.


After the production cease, 128Mb and 256Mb X 32 SDRAM products have witnessed record spot prices. Taiwanese counterparts are believed to benefit the most from the cease, such as Etron Technology, Inc., Elite Semiconductor Memory Technology Inc. (ESMT), Zentel Electronics Corp., and Winbond Electronics Corp.

Source: www.163.com (January 25, 2010)

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