Siliconware Precision Industries (SPIL) will restart its backend services for the manufacture of DRAM memory to satisfy demand from China, according to industry sources.

SPIL started to shift its focus away from the DRAM market in 2007, and has become a backend house specializing in logic ICs. With China-based memory startups emerging, SPIL is putting the focus back on the sector specifically in China, said the sources.

SPIL recently disclosed plans to make a further investment in its newly-established wholly-owned subsidiary in China. Named Siliconware Electronics (Fujian), the unit located in Jinjiang (Fujian province, Southern China) will be dedicated to providing assembly and testing services for memory and logic devices.

In the memory-chip sector, Siliconware Electronics (Fujian) will initally focus on the DRAM segment and has no plans for flash backend, the sources indicated.

Siliconware Electronics (Fujian) is expected to be part of the supply chains of United Microelectronics' (UMC) 12-inch logic IC fab in Xiamen and also Fujian Jin Hua Integrated Circuit for which UMC is developing DRAM production technologies, the sources noted. In particular, Jin Hua is the largest target customer of Siliconware Electronics (Fujian), the sources said.

Jin Hua, which will be dedicated to producing DRAM chips utilizing technologies developed by UMC, is expected to start operating its new 12-inch fab between the end of 2018 and early-2019, the sources noted.