DRAM chipmaker Inotera Memories is likely to return to profitability as early as March, thanks to more output using 30nm process technology and steady orders from Micron Technology.

Inotera's manufacturing costs will be lowered to as low as US$0.80 following the transition to a newer 30nm process, according to the observers. The firm is expected to post its first profit in 14 quarters in the three months through June, said the observers.

With memory prices set to edge higher, Inotera will be able to manage profit growth sequentially through the end of 2013, the observers indicated. The firm will stand a chance of swinging to profits in 2013, from losses of NT$15.5 billion (US$523.5 million) in 2012, the observers said.

Inotera said previously that the company plans to shift a majority of its total wafer starts to 30nm process technology by April. Inotera's 30nm chip output has exceeded 60,000 12-inch wafer starts per month since the end of 2012, and the monthly figure will top 100,000 units in April, the company revealed.

Meanwhile, Inotera's new supply agreement with Micron will make it the largest provider of 30nm DRAM products to the US vendor. Micron agreed to take over all of Inotera's manufacturing output beginning in early 2013, the companies announced on January 17.

By: DocMemory
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