Taiwan Government Official: To Invest In 2 Chip Cos For Tech Access
July 22 2009 - 6:18AM
Dow Jones News
The Taiwan government hopes to invest in two local memory-chip
makers that would allow the island to get access to technologies
from Japan's Elpida Memory Inc. (6665.TO) and U.S.-based Micron
Technology Inc. (MU), Woody T.J. Duh, director general of the
Industrial Development Bureau, said Wednesday.
"It'd be better if we have two major camps of memory-chip makers
using different technologies," Duh told reporters after meeting
local makers of dynamic random access memory chips on a government
plan to invest up to NT$30 billion in the industry.
The final investment decision will be based on evaluations of
companies' proposals, Duh said.
The government said Tuesday it plans to invest in one to two
local DRAM makers that meet government requirements in carrying out
restructuring plans to enhance the DRAM industry's
competitiveness.
The government expects to receive restructuring proposals within
the coming weeks, Duh said.
Taiwan Memory Co., a chip company being set up by the Taiwan
government which has picked Japan's Elpida as technology partner,
will certainly get the government's money, Duh said.
Nanya Technology Corp. (2408.TW) spokesman Pei Lin Pai said his
company will apply for the government's investment but didn't give
a timeframe.
Nanya and Inotera Memories Inc. (3474.TW) both use technologies
from Micron. Inotera is a joint venture between Nanya and
Micron.
Powerchip Semiconductor Corp. (5346.OT) spokesman Eric Tang also
said Tuesday his company is considering applying for government
investment. The company also uses Elpida's technologies.
The government said Tuesday that DRAM makers that can gain
access to foreign firms' intellectual property rights, propose
plans to jointly develop next-generation technologies with foreign
partners, and consolidate through mergers and acquisitions will be
eligible for the government's investment.
-By Jessie Ho, Dow Jones Newswires; 88622 502-2557;
jessie.ho@dowjones.com