Micron Technology has said it has no intention to expand DRAM capacity in 2010, echoing recent remarks made by Samsung Electronics and Powerchip Semiconductor Corporation (PSC). Micron will be focusing on process geometry shrinks to strengthen competitiveness in the DRAM market, according to the company.
Oh-Hyun Kwon, the head of Samsung's chip division, recently remarked that DRAM makers should not commit blindly to aggressive capacity expansion projects. Major investment should go into elevating technological levels, he said.
PSC chairman Frank Huang has also urged DRAM players to be more cautious about expanding their capacities, and avoid repeating the same mistake made previously.
Most DRAM chipmakers bled red ink between 2007 and 2009, after having spent massively on new equipment and fabs the previous two years.
Industry observers have also expressed concerns that with the desktop PC market being stagnant and the cloud computing trend looming, the consumption of DRAM used mainly in traditional PCs may contract in the long run.