DRAM Giant Qimonda Declares Insolvency

From DailyTech: Qimonda, at one time the second largest DRAM manufacturer in the world, has filed for insolvency under German law, the equivalent of Chapter 11 bankruptcy protection in the United States. Such action provides creditor protection while it reorganizes its operations and restructures its debt.

Formed from the memory technology assets of Infineon in 2006, Qimonda was hit hard both by falling DRAM prices and the global credit crunch. Its name never really caught on either, as the Infineon brand was well known worldwide. It also sounded much cooler.

Qimonda was one of the first DRAM manufacturers to build on 300mm wafers, greatly lowering production costs but requiring costly initial investments. It now ranks fourth in production, behind Samsung, Hynix, and Elpida.

They had a much vaunted strategic alliance with Nanya through their joint venture Inotera Memories, but split after Nanya decided not to pursue development of Qimonda's Buried Wordline Technology. Qimonda sold its stake in Inotera to Micron last October.

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