Today's dismal DRAM market and the very high capital expenditures needed
for future fab equipment were factors in precluding 256-Mbit production, Gupte
acknowledged. Oki currently has 0.32-micron wafer processes, he said, but
256-Mbit production requires sub-0.25-micron design rules on costly new
deep-ultraviolet (DUV) lithography equipment.
Oki is not alone among DRAM makers with limited DUV capability. One of the
largest memory suppliers needing to upgrade to DUV is South Korea's LG
Semicon Co. Ltd., said George Burns, of Strategic Marketing Associates, Santa
Cruz, Calif. The pending merger of LG Semicon's and Hyundai Electronics
Industries Co. Ltd.'s chip operations could add Hyundai's DUV capabilities and
possibly expand sub-0.25-micron wafer fab lines for future 256-Mbit chips,
sources said.
Texas Instruments Inc., facing the same dilemma of little DUV capacity, sold
off its DRAM fabs to Micron Technology Inc., which plans to upgrade them.
Motorola Inc. last year exited the DRAM market, although the chip maker has
extensive DUV fab lines.
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