Taiwan's proposed DRAM industry bailout puts the word "global" in economic downturn

It looks like a $6.5 billion dollar bailout of Taiwan's DRAM industry is in the works, a move that is proving as controversial on the island as the auto bailout is Stateside. The DRAM market has been in decline a while now, as evidenced by the recent closure of the Hynix plant in Eugene, where some 1,100 souls once worked doggedly to topple the likes of Intel and AMD. Now, we don't really know all the particulars of this admittedly complex situation, but we sure hope that lawmakers over there are able to work something out -- after the recent debut of Phantom of the Opera peformed by robots at Taiwan's University of Science and Technology, we're sure that people there could use something to lift their spirits.

[Via TG Daily]

[Bassir @ Dec 24th 2008 3:12PM]

It's time for that MRAM.

[Chris @ Dec 24th 2008 3:13PM]

Thats... what... she... no.

[Chris @ Dec 24th 2008 3:14PM]

Thats... what... she... no.

[Samboini @ Dec 24th 2008 3:23PM]

No.

[Jason @ Dec 24th 2008 3:49PM]

Damn...keyboard...stutter..virus!

No?

[azz0r @ Dec 25th 2008 7:11AM]

I hate all this economic crap.

How did no-one see this coming?!

[MARSHAK @ Dec 25th 2008 10:24AM]

we did. its a healthy part of capitalism. does it suck? yes. is it inevitable? yes

[SHSPVR @ Dec 25th 2008 8:49AM]

azz0r That eazy one look at Housing Interest Rates and High cost to buy one, Gas Price, Credit Card Rates Interest Hike, Car Prices back then and just about ever thing else going up.

[Xenoterranos @ Dec 24th 2008 3:23PM]

Well, I certainly am glad I picked up some ram during the cyber monday deals. I wonder if this means that ram prices will continue to tank, or skyrocket? Given that this seems to be a case of too much supply, I would hope that this means supply will only drop to the point of meeting the demand curve, not pushing it.
Maybe the intro of DDR3 into the mainstream with i7 and the new phenoms will help them out a bit, since they can still charge a bit of a premium for that.

[Cris @ Dec 24th 2008 3:26PM]

DRAM? Emanuel DRAM? Isn't him Obama's new Chief of Staff? ;-)

[conor @ Dec 24th 2008 3:26PM]

What I hate s people saying that the imports don't need a bail out, they just asked the Japanese government to devalue their own currency so they can make a profit exporting.

[Johan S @ Dec 24th 2008 3:39PM]

A bailout of for DRAM ? No. lower DRAM prices are the best thing for an economy. The cheaper DRAM is the better computers will be. The more people have computers the better overall production & quality of life is improved.

Let competition thrive.

[Jason @ Dec 24th 2008 3:52PM]

Umm, was that a joke? A failing market almost certainly means higher prices not lower ones.

[phanbouy fan fan @ Dec 24th 2008 4:04PM]

Let my people gooooooo

[feffrey @ Dec 24th 2008 3:45PM]

At first I was like, Taiwan has DRM Industry and it is getting bailed out?

[micklol @ Dec 25th 2008 1:27PM]

umm where have you been?
only the third largest in the world.

[Phoenix @ Dec 24th 2008 4:10PM]

I LOVE that picture.

Why has nobody mentioned it before?!?!?!

[bigcow05 @ Dec 24th 2008 5:24PM]

Sad DRAM is sad.

[andres @ Dec 24th 2008 8:36PM]

someone accidentally the economy

[andrew @ Dec 24th 2008 9:00PM]

Taiwan's legislature is not going to do anything. It's been ruled by the Kuomintang for 60 years and now it's just filled with a bunch of old gangsters who would rather not show up to work because they have too many businesses on the side to care. The DRM industry is on the ropes in Taiwan and the president is too busy taking care of his new pandas to do much with the economy. He promised 6% growth this year.

[CheapDRAM @ Dec 24th 2008 10:38PM]

which one do you choose?
Option 1: Taiwan(Winbond, PSC, ProMos, Nanya)+US(Micron)+Japan(Elpida) vs Korea(Hynix)-->cheap DRAM
Option 2: Korea(Hynix) only-->way expensive DRAM

Micron's Borad of Directors visited Taiwan last week to seek for bailout from Taiwan by transferring 50nm technology to ProMos. I don't know what really goes one. But, Taiwan DRAM makers are accounted for 39.5% of global DRAM manufacturing capacity while Hynix is accounted for 39.5% as well. The bailout is meaningful, however, if Micron and Elpida will transfer technologies to Taiwan. This is how option one is feasible and worth of the bailout.

[easyeye @ Dec 25th 2008 12:13PM]

The economy caught us all unexpected. Even if he can foresee the future that doesn't mean he can save it since Taiwan is too dependent on the US. Besides, I really don't think the other candidate can do a decent job also. The previous regime did too much destruction toward Taiwan economy in virtually all sectors except rallying those fools in the south. And where does it say the legislature is not doing anything? Be reasonable.

[nikster @ Dec 24th 2008 9:50PM]

Difference between this bailout and the big three bailout: I am not paying for this one. So I don't care. The big three, I am happy to put my hard earned tax dollars down so they can continue to produce cars that I won't be buying in a million years. NOT.

http://www.treehugger.com/20081209-the-bailout-shitty-cars.jpg