Electronics Production | November 12, 2009
Elpida outsources DRAM manufacturing to Winbond
Elpida Memory and Winbond Electronics signed a Memorandum of Understanding (MOU) for DRAM foundry services. Winbond is to manufacture DRAMs under contract to Elpida.
The outsourcing agreement is the first step of a business partnership the two companies intend to pursue further. The agreement pertains to the supply of GDDR3 and GDDR5 graphic DRAMs for Elpida. Prior to this agreement Winbond and Elpida have been working together to commercialize GDDR3 and GDDR5 DRAM products. Winbond is preparing to begin commercial production of these products by the end of 2009 while Elpida plans to begin purchasing the output in the first half of 2010. Under the agreement, Elpida and Winbond will now embark on a more formal business relationship. As a first step Elpida will provide Winbond with advanced DRAM process technology and product technology and in return Winbond will allocate certain capacity at its wafer fabs in Taichung to manufacture these DRAM products. Elpida will purchase the product output and sell it to major customers under its own corporate brand name.