Micron To Purchase $500 Million Worth Of Elpida Shares

Idaho-based Micron Technology will reportedly be spending at the very least $500 million in purchasing a stake in its Japanese rival, Elpida Memory, according to a Chinese Economic Daily News (EDN) report. This turn of events comes on the heels of various other reports that Elpida would propose an equity tie-up with Micron with a decision emerging sometime in February. This of course is no surprise with Taiwan’s Nanya Technology and Inotera Memories have both been quoted saying that DRAM makers should be uniting as such a move would contribute to the industries overall sustainable development. What does this mean for the consumer? The DRAM market in 2011 was a war zone due to overproduction from DRAM manufacturers which led to drastic drops in PC memory prices. These latest developments might contribute to a rebound of DRAM prices at some point in 2012.