Guide Nanya afraid that with the arrival of Chinese companies, the market for memory chips will collapse because of overproduction

The implementation of China’s plans to acquire their own production of memory chips can cause a crisis of overproduction and collapse of the market. The point values follow market timers, which next year expects to reach the company Yangtze River Storage Technology. This company, also known as the Changjiang Storage, support funds with state participation.

The production of modern memory devices requires not only large investments in the production but also the possession of intellectual property, is currently available only to major market participants from other countries. The head of the company Nanya Technology, quoted the source, I am sure that if the Chinese producers will be able to license necessary technologies, the market goes «from healthy competition to the battles that may go out of control and lead to devastating consequences.»

The Taiwanese company Nanya Technology and its partner, the American company Micron, rank respectively fourth and third place among manufacturers of memory. On the first and second areas are South Korean companies Samsung Electronics and SK Hynix.

According to the management, Nanya Technology and Micron, Chinese manufacturers are luring, they have specialists that can lead to the leakage of the technology.

Concerns are confirmed by the examples of other markets liquid crystal displays, LEDs and solar panels — where with the arrival of Chinese manufacturers encounter a situation of overproduction.

Source: CDR Info



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