Samsung Electronics’ move to reallocate capacity to 512Mbit DDR and DDR2 may also reduce the firm’s NAND-flash supply, according to sources with IC distributors in Taiwan.

The South Korea-based chipmaker plans to dedicate its 12-inch Fab 13 to DDR2 production, at the expense of NAND flash, the sources said.

Another source in Taiwan indicated that Samsung faced issues when testing 2Gbit NAND flash last month but may have resolved the problems.

As reported on August 24, Samsung is accelerating its DDR2 ramp to meet demand from Dell, which is said to account for 70-80% of Samsung’s DDR2 shipments.