Nanya denies role in Elpida-Micron deal

Taiwanese chipmaker's chairman unaware of merger and says it does not intend to participate in any deal, according to a report.

Taiwanese chipmaker Nanya Technology has denied any plans to be part of any potential merger between Japanese rival Elpida Memory and U.S.-based Micron Technology.

According to a Reuters report Monday, Nanya Chairman Chia Chau Wu said he was not aware of any deal between the other two companies and the company had no intention to take part in any deal. He also declined to comment whether Nanya would welcome such tie-ups, the report noted.

Chia's statement came on the heels of news last week stating that the Taiwanese, Japanese and U.S. semiconductor vendors were in the last phase of merger discussions. The purported combined entity would have the second-largest share of global dynamic random-access memory (DRAM) market, ahead of their South Korean competitor Hynix Semiconductor, an earlier report stated.

Joyce Yang, chief executive of Eureka International, a Taipei-based semiconductor industry research company told Reuters that Nanya and Micron would benefit from any tie-ups, particularly in the mobile DRAM market, where Elpida has the highest penetration, having the second largest market share last year.

Such a merger would also help ease the price competition slightly in the short run, said Fred Yu, an analyst at IBTS Investment Consultation, in the report.

"But in the long run, demand for DRAM is still shrinking, these memory companies will all be gone if they don't start expanding into NAND flash aggressively, no matter how many mergers they do," he noted.

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