Hynix uses thinner technology

By Kim Yoo-chul

Hynix Semiconductor, the world’s second largest maker of dynamic random access memory or DRAM chips, said Wednesday it has successfully developed the advanced 4-gigabit DDR3 DRAM using a finer 30-nanometer level technology.

Its brand-new chip with the 38-nanometer processing technology is used to increase productivity by 70 percent over the existing 40-nanometer technology.

Hynix said it has been the first case of the technology’s industrial application for chips to be used in faster processing, bigger-storage computer servers and PCs.

``The development will help us further widen gaps with our rivals,’’ said Son Kyung-bae, a Hynix spokesman.

Son added the memory chipmaker will begin shipping its 2-gigabit DDR3 DRAM chips with 30-nano class technology next year.

Separately, the 2-gigabit DDR3 DRAM chips used in servers is designed to cut energy consumption by 60 percent compared to the same product with 40-nanometer level technology, Hynix said.

``Hynix is producing DRAM chips with 2-gigabit density for about half of the total output. This will help us maintain our lead in the highly-lucrative premium chip sector,’’ said its chief technology officer (CTO) Park Sung-wook.

iSuppli, an industrial consultancy, forecasts the 4-gigabit DRAM chips will go into the mainstream from the latter half of 2011 and grow to 43 percent of the total demand by 2014.

The chip enhancement comes after the benchmark DRAM price has been declining for seven straight months since May as chipmakers are being pressurized to lower inventories ahead of the new year.

The chief executive of Hynix Kwon Oh-chul recently expected the global chip market to bottom out in the first half of 2011 and added its advanced technology will help it make the most of a cyclic upturn.

``To battle with the industry’s cyclical patterns, companies in Taiwan and Japan have been in talks for strategic alliances, however, possibilities are low the possible partnership will threaten the current chip leadership by Samsung and Hynix,’’ said Park Young-joo, an analyst at Woori Investment.

Taiwanese and Japanese rivals are still leaning towards 50- to 60-nanometer technologies, far behind Samsung and Hynix’ 30- to 40-nanometer technologies.

Samsung is taking up 40.7 percent of the global DRAM market, followed by Hynix with 21.0 percent and Elpida Memory of Japan with 16.2 percent as of the end of the third quarter, data from iSuppli showed.