Elpida Memory may be resuming talks with Toshiba about integrating business operations, which has been pushed by the Japan government, according to industry sources. Terms set for the talks renewal are that Toshiba will merge its memory business with Elpida's mobile DRAM operation only, the sources said.
While expressing its unwillingness to stay in the PC DRAM sector, Toshiba reportedly agreed to again negotiate with Elpida on the basis of an understanding that the flash maker will only take over Elpida's mobile DRAM technology and assets, the sources pointed out.
There is also speculation that Elpida has also been in merger talks with US rival Micron Technology. Micron's new management, after the death of CEO Steve Appleton, reportedly will play a key role in whether the talks succeed.
Appleton had been identified as an advocate for industry consolidation. The former CEO reportedly met with Elpida president Yukio Sakamoto during 2009 to discuss the idea of uniting non-Korean DRAM players.
Elpida recently disclosed uncertainty about the company's ability to continue its operations, as talks with Japan's trade ministry, state-owned bank and private banks began to stall. The firm originally expected to receive new financial support from the parties to repay its debts due by early April.