Rexchip Electronics has reduced its DRAM-chip supplies to Powerchip Technology, while growing its deliveries to Elpida Memory, according to a company filing with the Taiwan Stock Exchange. The filing was issued in response to a Chinese-language Commercial Times report which claimed that Powerchip has moved to collect less shipments from Rexchip.

Rexchip added that the revised shipment allocation will have little impact on its operations.

Rexchip originally supplied almost 70% of its total DRAM output to Elpida based on Elpida's holdings in the company, and the remainder to Powerchip.

Elpida president and CEO Yukio Sakamoto recently remarked that the company would gradually transfer its DRAM production lines to Rexchip in the coming year, and the Taiwan-based subsidiary would play an increasingly important role in Elpida's DRAM supply to customers worldwide.

Earlier in September, Powerchip unveiled plans to halve its total PC DRAM output while placing a heavy emphasis on production of non-DRAM products on an OEM basis such as LCD driver ICs, CMOS sensors and power management chips.

Powerchip previously also signed an agreement with Elpida, under which Powerchip would contract manufacture commodity DRAM chips for Elpida including a portion of those produced by Rexchip.

Source:digitimes