Qimonda could be starting a whole new model for the DRAM industry. Apparently it has asked the German government for financial help under its 500 billion Euro bail-out plan for German industry, while the State of
This would be in line with the current thinking in the world's major financial centres that it's best to take a shareholding in failed banks - in effect take them into public ownership - and so ensure they use their new, government-provided capital to help businesses and individuals who need credit.
It now looks as if the take-overs of the banks may be extended to the automotive companies and, if the automotive companies get it, then why not the DRAM companies?
If the Germans go ahead and take Qimonda into public ownership, then other governments may follow suit.
The Japanese government could take over Elpida; the Korean government could take over Samsung and Hynix; the
How would that affect the DRAM business? Well maybe customers for DRAM could sign up on an annual subscription basis. You pay a set amount every year, and you can have as much memory as you like in return.
There wouldn't be any point in taking more memory than you can use, because there would be no market in which to re-sell the surplus.
That way, demand might be brought into line with supply for the first time in the 37 year history of the semiconductor memory industry.
And if the auto companies are nationalised, the same model could apply to them.
Of course, some people would go and grab half a dozen SUVs but, with nowhere to sell them, they'd soon find that having six SUVs is silly and inconvenient, and they would soon learn to take only as many as they need.
The new industrial model is extendable to all industries.
What should this new industrial model be called?
Well, 'Socialism' seems appropriate.
But that wouldn't do in
In
Am I missing something?
If vehicles were free there would be a surge in waste. There would be little incentive to look after your car. People prefer a new car an old one.
If they don't have to buy it, why not get a new car every few months?
If you damage it a little, why repair it? Just get a new one.
Where's the incentive for people to not increase their waste by a large amount?
Very true.
But now the car companies are churning out tens of thousands of cars which no one wants or can afford to buy.
So what's the difference?
We are already there. A dentist can buy a PC with 1 hours work (1 Dell PC = 1 root canal) and a cellphone with 1/2 hour of work.
Our industry's products are treated as throwaway gadgets and people do replace PCs rather than do an operating system upgrade on the old one. People do replace cellphones every year because the contract says they can. It does cause a lot of waste.
Time to start enforcing patents to shut out the copyists and open source socialists that are forcing prices down in a self defeating death spiral. We need to start making the customer pay what the products are worth. That way engineering can be a career not a hobby.
You're right. I see Fujitsu is offering Lifebook customers a low-price upgrade.
If only they'd find a way to recycle the old one there wouldn't be so much wastage and re-use of components might be way to increase margins.
Maybe the subscription model - somethng like water/waste bills - would be a way to go!