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Technology Stocks : Micron Only Forum -- Ignore unavailable to you. Want to Upgrade?

To: Keither22 who wrote (32479)	4/24/1998 1:21:00 AM
From: DJBEINO	Read Replies (1) \| Respond to of 53903

Q-What about memories? I'd say the biggest impact for us has been the memory area. The Asian crisis was not the root cause of the memory-pricing problems, of course; they began two years ago. But when the crisis hit, it drove prices down another 50 percent. The real impact was when Korean DRAM makers began clearing inventory at any price they could get, just to get cash. There is something fundamentally wrong in the market now. We have done the cost simulations, and we know Micron Technology has the best cost structure in the industry on 16-megabit DRAMs, just as we have that advantage on 64-Mbit DRAMs. But today, not even Micron can make money in the DRAM market. Q-What could be done to correct the situation? I hope people will stand up and address this issue, starting in the World Semiconductor Council. Steve Appleton [chairman and CEO] of Micron has spoken out about this, but other people only talk behind the scenes. No one wants to hurt the Korean economy further while it is down. But what we end up doing is pouring money into the Korean economy that finances selling of DRAMs at absurd prices. Asian Flu Will Linger, Siemens Chief Says techweb.com