Micron Technology, Inc. has entered into agreed with
Nanya Technology Corporation to amend their joint venture
relationship involving Inotera Memories, Inc., a Taiwanese
DRAM memory manufacturer, and to amend their joint
The amendments, effective immediately, include a new
supply agreement between Micron and Inotera pursuant to
which Micron is transitioning to purchase all of Inotera's
manufacturing output, with Micron purchasing substantially
all of such output beginning in early 2013. Under the
prior agreements, Nanya and Micron were each generally
obligated to purchase half of Inotera's output. Commercial
terms of the new supply agreement between Micron and
Inotera have also changed. Under the new arrangement,
Micron's purchase price for Inotera output is market based
as opposed to the former margin sharing arrangement.
Additionally, Nanya will no longer participate in the DRAM
technology joint development program with Micron, which
was initiated when Micron and Nanya entered into the
Inotera joint venture in 2008. Micron will also provide
Nanya with a royalty-bearing technology license.
"Micron and Nanya have enjoyed a strong and productive
technology and manufacturing alliance," said Micron CEO
Mark Durcan. "Moving forward, we are enthusiastic about
continuing to build on that success as we expand our
cooperation with Inotera."
Micron and Nanya collectively will continue to hold a
majority of Inotera's shares, with Nanya or its affiliated
companies likely acquiring greater equity ownership over
the next year. Micron and Nanya and their affiliates
currently own approximately 40 percent and 29 percent,
respectively, of Inotera's outstanding shares.
Micron said the new agreements do not change Micron's
previously announced fiscal second quarter 2013 estimates
for DRAM production bit growth, research and development,
estimated quarter to date average selling price (including
forecasted product mix for the quarter) and cost per bit.