Acer cuts DRAM output

09/01/1998

Acer cuts DRAM output

Acer Semiconductor Manufacturing Inc. (ASMI), the former TI-Acer joint venture, has said it will make a significant cut to its DRAM output as it shifts to logic, other memory devices, and custom foundry services. The move is part of a technology licensing agreement ASMI now has with IBM, under which IBM will transfer its advanced logic process technology to the Taiwanese chipmaker. Under the agreement, ASMI will begin producing a 0.25-?m logic process in 4Q98; by 1Q99, the firm hopes to reach volume production using IBM`s technology. As a result, DRAMs will no longer be the company`s sole product, and will be cut back to account for 20% of output, according to a company spokeswoman in Taiwan.

In addition, over the next two years, ASMI plans to increase capital spending to upgrade its 200-mm fab with 0.20- and 0.18-?m processes in the coming years. - C.L.