Hitachi US sacks fab workers

Hitachi US sacks fab workers
Tom Foremski
Hitachi is laying off 200 workers at its Texas memory chip fab as part of a restructuring designed to lower its exposure to the volatile DRAM market.
The restructuring will shift Hitachi’s focus from DRAMs to more profitable logic chips. It said that it will also boost production of microprocessors and microcontrollers.
“Changes in our markets have been dramatic and have necessitated a change in our manufacturing focus in the Texas plant in order to improve the outlook for our operations. These market conditions have dictated that we shift our focus to higher margin semiconductor logic products,” said Kosei Nomiya, CEO of Hitachi Semiconductor (America).
Hitachi and other DRAM makers have been losing money as the a huge glut of memory chips continues to depress prices, a situation made worse by the devaluation of the Korean Won which has unleashed a flood of cheap Korean produced memory chips.

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