According to Juheng.com, DRAM manufacturer Nanya Ke predicts that DRAM demand will grow steadily this year. However, the growth rate of supplier supply is expected to be limited, but the continuous development of 5G smartphones and data centers may push up the growth rate of the demand side, and the overall industry is expected to develop healthily.

Nan Yake Chairman Wu Jiazhao pointed out that DRAM market prices are expected to stop falling and rebound this year, and the overall industry is expected to break out of the trough and move towards growth. The company will invest more research and development resources to accelerate the development of 10-nanometer process technology and a new generation of DDR5 products. At the same time, the company plans to expand its new plant. In the future, it will gradually increase output with the goal of meeting market demand.

Regarding this year’s operating plan, Nanya said that the 10-nanometer 1A process trial production line has been completed and will continue to work on product trial production and yield improvement this year. 8Gb DDR4 is expected to start sample certification and small-quantity production in the second half of the year; at the same time, the next generation DDR5 is being designed and developed, and trial production is expected to begin in the second half of the year. In addition, this year will also accelerate the 1B process technology and product development schedule, and it is expected that the first product will be trial-produced in the third quarter.

In order to meet market requirements and the company’s long-term development, Nanya has planned to build a new 12-inch advanced wafer fab. The new fab will adopt its self-developed 10 nanometer process technology, and plans to set up EUV extreme ultraviolet lithography production lines with a monthly production capacity of approximately 45,000 wafers, construction will start at the end of this year at the earliest, with the goal of completing trial production in 2023. It is reported that in response to the mass production of the 1A process, the construction of new plants and general departmental capital expenditures, the capital expenditure limit of Nanya Technology this year is expected to be NT$15.6 billion (US$556 million).