In the face of brisk NAND flash demand, Micron Technology does not rule out building a second fab in Singapore. The memory chip vendor also remains open to outsourcing with the aim to cut costs, according to a company executive.
Micron recently announced the official opening of IM Flash Singapore, its joint-venture fab with Intel. However, the company views outsourcing as a more efficient way for it to ramp up capacity within the shortest possible time and keep up with demand.
Micron is at present unable to outsource NAND flash manufacturing to Inotera Memories due to the terms and conditions of Micron's existing agreement with Intel, said Michael Sadler, VP of Corporate Development at Micron. However, Micron has left open the possibility of expanding its tie with Inotera from DRAM chips to NAND flash, Sadler indicated.
For the NAND flash business, it is not Micron's top priority to become the global number one, but instead it aims to achieve the world's lowest cost and fastest time to market, Sadler added.
There have been rumors that Inotera is eyeing Micron's orders for NAND flash. But so far, none of the companies have officially commented on the speculation. Micron currently contracts Inotera to manufacture its DRAM memory including mobile RAM and server-use DRAM products.
Inotera is a DRAM joint venture between Micron and Taiwan's Nanya Technology. Its 12-inch fab has a monthly capacity of 130,000 wafers split down the middle between the two investors.