Siemens, Mosel Vitelic form cooperative fab for DRAMs
11/01/1996
Siemens, Mosel Vitelic form cooperative fab for DRAMs
The semiconductor group of Siemens AG, Munich, Germany and Mosel Vitelic Inc., Taipei, Taiwan, will jointly manufacture 64-Mbit and 256-Mbit DRAMs in Taiwan.
Both parties have signed a contract forming a joint venture named ProMOS Technologies, which will be located at the Science-Based Industrial Park in Hsinchu near Taipei. Siemens will hold a 38% share, Mosel Vitelic 62%. The first phase of the deal is worth about $1.0 billion, with a subsequent stage adding another $700 million.
Both partners will contribute management and engineering resources toward operation of a fab currently being built by Mosel; it will initially work at 0.35 micron and later migrate to 0.25. The two firms will also set up a joint R&D center for DRAMs. Siemens will bring in its technological know-how in the field of memory components. Plans call for the new fab to have about 1500 employees after completion; rampup will begin in mid-1997.
Ulrich Schumacher, who became the head of the Siemens semiconductor group on October 1, 1996, called the agreement another important step within the long-term strategy of his group to globalize and internationalize its activities. "The partnership with Mosel Vitelic gives us a better implementation in the Southeast Asian semiconductor market and enables us to be closer to our customers," says Schumacher. "It completes our measures that we use to establish ourselves worldwide with manufacturing and marketing activities in Europe, North America and now in Asia Pacific as well." He added, "We are aware that our customers expect to be supplied with 64-Mbit memories as soon as possible. The joint venture...[helps] us to meet this demand."
Hung-Chiu Hu, chairman and president of Mosel Vitelic, said the deal would give his company quick access to new high-density DRAM technology, and said it would " [allow] Mosel Vitelic to vault past 16-Mbit memory suppliers and directly enter high-value markets for main memory products."
Hu will serve as chairman of ProMOS, Nasa Tsai as president, and Karl Heinz Horninger as executive vice president.- A.V.