"NEC plans to halt production of 16M DRAM chips in the UK from March"
TOKYO (AFX-ASIA) - NEC Corp is to concentrate production of 16 megabit dynamic random access memory microchips in the U.S., the Nikkan Kogyo newspaper reported. At the same time, it plans to concentrate production of next generation 64M DRAM chips in Japan and the UK, the report said. NEC plans to halt production of 16M DRAM chips in the UK from March, and to transfer production of the chips from domestic plants in Japan to the U.S. later in the year, according to the report. It also plans to cut 16M DRAM chip size to 0.25 millimetres from the present 0.35 mm, in a bid to further cut production costs. In December, NEC's production of 16M DRAM chips ran at 13 mln units a month, which is to be cut to 11 mln units a month by March, according to the report. Production of 16M DRAM chips is to be cut further, to several million units a month during 1998, it reported. NEC expects a generational shift in demand to 64M DRAM chips from 16M DRAM chips during the second quarter of 1998, according to the report. |