Elpida Memory are scaling down production of DRAM at their factory in Hiroshima, Japan. They have also instructed their Rexchip Electronics subsidiary factory to reduce production.

This will affect the global DRAM industry by around 10 percent according to reports in Taipei. Currently there is too much stock in the channel.

Digitimes say that the monthly capacity at Elpida's 12 inch wafer planet in Hiroshima will drop to 80,000 units from 120,000 units. Of those 80,000 units, 60,000 or more will be used to support Apple products, according to sources.

Kitguru says: This will help reduce the channel oversupply.

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