Micron Technology, Inc. and Nanya Technology Corporation announced today that the two companies have signed an agreement to create MeiYa Technology Corporation, a new DRAM joint venture.

As part of the joint venture, a 200 millimeter (mm) Nanya manufacturing facility in Taiwan will be upgraded to 300mm technology starting this year, with the facility coming online for production in 2009. In addition to MeiYa, the parties will jointly develop and share future technology.

Both parent companies will own 50 percent of the joint venture initially, and each will contribute USD $550 million in cash by the end of 2009.

"This partnership brings greater scale and efficiency to the DRAM manufacturing operations of both parent companies, and Micron is pleased to officially enter into this joint venture with Nanya," said Mark Durcan, Micron?s President and Chief Operating Officer.

"We are sure that MeiYa will demonstrate the synergistic combinations of Nanya and Micron?s strength in the DRAM industry," said Dr. Jih Lien, Nanya?s President. "Nanya has a very high expectation for this new entity."