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**Aceroassert** · 02-16-2009, 11:44 PM

http://www.digitimes.com/news/a20090216PD210.html

Micron-Nanya supporter to depart from Taiwan economics ministry

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Josephine Lien, Taipei; Jessie Shen, DIGITIMES [Monday 16 February 2009]

Pushing for the consolidation of the local DRAM industry and technological transfers from foreign players, Taiwan's Ministry of Economic Afairs (MOEA) has seen two separate camps within its ranks supporting either Micron Technology or Elpida Memory, government insiders have revealed.

Vice economics minister Shih Yen-shiang is the major supporter for the Micron-led camp, which includes Nanya Technology and Inotera Memories, the sources claimed. On the other side is Chen Chao-Yih, head of the Industrial Development Bureau (IDB), who backs Elpida, whose local partner is Powerchip Semiconductor Corporation (PSC), the sources said.

The Micron camp was caught off guard on February 5 when the government announced that Shih would be departing for a new post as chairman of a state-run oil company, the sources said.

Fearing that Shih's exit would hamper their chances, the Micron camp then scrambled to come up with a propsoal calling for the consoldiation of all DRAM makers in Taiwan, Japan and US, the sources said. But the plan was submitted to the MOEA without the endorsement of Elpida, PSC, Rexchip Electronics, ProMOS Technologies, or Winbond Electronics, the sources indicated.

The government reportedly now favors the Elpida camp, planning to invest in a new DRAM company to be formed by the Japan maker and Rexchip, its Taiwan-based joint-venture with PSC, the sources noted.

The government thinks that the Micron project – where the US firm, Nanya and Elpia will be the "parents," and Inotera, PSC, ProMOS, Rexchip and Winbond will be the "subsidiaries" – would be too huge and complex a task to accomplish, the sources remarked.

Micron chairman and CEO Steven Appleton reportedly has visited Elpida's president Yukio Sakamoto in Japan for several times, expressing the idea of uniting non-Korean DRAM players. But the sources said Elpida has shown little interest in the Micron plan.

The MOEA has spelt out the objective for the Taiwan government's rescue plan for the island's struggling DRAM sector: to have key technologies transferred from overseas. The ministry earlier this month said that the Taiwan government will initiate efforts to downsize the local DRAM industry and acquire key technologies from overseas for helping the sector's evolution.

02-16-2009, 11:44 PM	#1
Aceroassert Join Date Oct 2005 Posts 444 Senior Member	Taiwanese troubled DRAM makers cause split in bail-out plan http://www.digitimes.com/news/a20090216PD210.html Micron-Nanya supporter to depart from Taiwan economics ministry Latest news DIGITIMES WiMAX portal Advertisement Josephine Lien, Taipei; Jessie Shen, DIGITIMES [Monday 16 February 2009] Pushing for the consolidation of the local DRAM industry and technological transfers from foreign players, Taiwan's Ministry of Economic Afairs (MOEA) has seen two separate camps within its ranks supporting either Micron Technology or Elpida Memory, government insiders have revealed. Vice economics minister Shih Yen-shiang is the major supporter for the Micron-led camp, which includes Nanya Technology and Inotera Memories, the sources claimed. On the other side is Chen Chao-Yih, head of the Industrial Development Bureau (IDB), who backs Elpida, whose local partner is Powerchip Semiconductor Corporation (PSC), the sources said. The Micron camp was caught off guard on February 5 when the government announced that Shih would be departing for a new post as chairman of a state-run oil company, the sources said. Fearing that Shih's exit would hamper their chances, the Micron camp then scrambled to come up with a propsoal calling for the consoldiation of all DRAM makers in Taiwan, Japan and US, the sources said. But the plan was submitted to the MOEA without the endorsement of Elpida, PSC, Rexchip Electronics, ProMOS Technologies, or Winbond Electronics, the sources indicated. The government reportedly now favors the Elpida camp, planning to invest in a new DRAM company to be formed by the Japan maker and Rexchip, its Taiwan-based joint-venture with PSC, the sources noted. The government thinks that the Micron project – where the US firm, Nanya and Elpia will be the "parents," and Inotera, PSC, ProMOS, Rexchip and Winbond will be the "subsidiaries" – would be too huge and complex a task to accomplish, the sources remarked. Micron chairman and CEO Steven Appleton reportedly has visited Elpida's president Yukio Sakamoto in Japan for several times, expressing the idea of uniting non-Korean DRAM players. But the sources said Elpida has shown little interest in the Micron plan. The MOEA has spelt out the objective for the Taiwan government's rescue plan for the island's struggling DRAM sector: to have key technologies transferred from overseas. The ministry earlier this month said that the Taiwan government will initiate efforts to downsize the local DRAM industry and acquire key technologies from overseas for helping the sector's evolution.
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