Inotera Memories is making progress in transitioning to a newer 20nm node technology, according to the Taiwan-based DRAM memory maker.

Industry observers recently indicated that four-gigabit DDR4 memory is unlikely to become mainstream for PCs until the first quarter of 2016, due to some chipmakers' difficulty in transitioning to 20nm process technology that requires huge capital investments. Micron Technology has been identified as one of the suppliers facing the difficulty.

In response, Inotera said that the company is scheduled to move 20nm process technology to volume production in the second quarter of 2015, and will be able to output 80,000 12-inch wafers built using the node monthly at the end of the year.

Inotera supplies DRAM chips to Micron, which also sources the memory from a Hiroshima plant previously owned by Japan's Elpida Memory.

Inotera added its capex for 2015 remains unchanged. In October 2014, the company announced plans to more than double its capex budget to NT$50 billion in 2015 from NT$22 billion in 2014.

In other news, Inotera is expected to disclose a revised supply agreement between it and Micron at the company's upcoming investor meeting, according to market observers. Inotera should be able to receive Micron's financial support to facilitate its migration to 20nm production, the observers said.