Winbond's Memory Business Group - Aggregate Resources and Focus on the Core Business

(Taipei News) Apr. 29, 2005 - Winbond Electronics Corporation today announced, in its 1Q investor meeting, the roadmap and advantages for the Memory Business Group. Winbond's Memory Business Group will focus more on developing 1T PSRAMs, LP SDRAMs and manufacturing low-density Flash products by using its own WinStack technology as its core competitiveness in the future.

The 1T PSRAM and high density NOR Flash are important components in the popular MCP (Multi-Chip Packaging) for cellular handset market applications. As the global forerunner of the 1T PSRAM product, coupled with a strong partnership with major high-density Flash and MCP providers, Winbond will focus more on 1T PSRAM and LP SDRAM business to provide the optimal total memory solution and more competitive memory products to the customers.

Winbond is also a leading supplier in the low-density Flash market for PC and Consumer Electronics devices. As such, Winbond will continue to manufacture low-density Flash products by using its own WinStack technology. These low-density Flash products include 32Mb-and-lower density parallel NOR Flash products, and the 64Mb-and-lower serial NOR Flash products, in cooperation with Winbond's subsidiary, NexFlash. 

Winbond has decided to discontinue volume production of the ACT1 products. ACT1 is the technology jointly developed by Sharp Corporation and Winbond 3 years ago specifically for high density NOR Flash used in the cellular MCP memory application. This technology development is almost completed after 3 years effort. However, due to the severe competition in the MCP market bringing down the price substantially, Winbond believes the profit gain from introducing ACT1 Flash memory to market will not justify further investment for commercializing the products. Nonetheless, Winbond and Sharp will continue enhancing the relationship in various business domains.

After constant adjustments in inventory for the past three quarters, the market demand of mobile memory industry has returned to be stable. Looking forward, Winbond will focus more on the 1T PSRAM and LPSDRAM product domains and continue to strengthen its partnership and cooperation with suppliers of high density Flash and MCP products. The culmination of these factors will allow Winbond to provide more product solutions in the memory product domain and satisfy customer needs. 


    Wilson Wen
    Vice President of Administrative Center
News Liaison
    Mike Liu
    Deputy Director

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