Micron fab contamination could raise DRAM prices

July 10, 2017 // By Peter Clarke
Inotera Memories Inc., which became Micron Technology Taiwan in December 2016, suspended the operation of one of its two wafer fabs on July 1, according to TrendForce.

The loss of production, which represents about 5.5 percent of global DRAM production capacity is expected to result in a further hike in DRAM prices that are already running high the market analyst said.

The closure was due to a malfunction of a nitrogen gas dispensing system that led to the contamination of wafers and equipment and has resulted in the loss of 60,000 wafer starts per month of DRAM manufacturing capacity out of the supplier's previous capacity of 125,000 wspm.

It is not clear how long it will take Micron to clean up the wafer fab and it makes no mention of the event anywhere obvious on its website. TrendForce said it will be "a time-consuming challenge." The DRAMs made in Taiwan include components for PCs, servers and mobile equipment. Inotera is also mainly responsible for manufacturing Micron’s LPDDR4 products that go into Apple’s supply chain for the iPhone.

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