Numonyx, Hynix in NAND tie-up -sources

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TAIPEI | Tue Aug 5, 2008 10:07pm EDT

TAIPEI Aug 6 (Reuters) - Numonyx, formed this year with assets from Intel (INTC.O) and STMicroelectronics (STM.PA), and South Korea's Hynix (000660.KS) are forming a major new tie-up as part of the U.S. firm's push into NAND memory, sources close to the companies said on Wednesday.

The two companies have signed a five-year joint development deal for NAND, a kind of memory technology used to store information in everything from cellphones to MP3 players and digital cameras, the sources said, speaking on condition of anonymity.

Numonyx's current output now consists of about 10 percent NAND memory, with the bulk for another kind of lower-tech memory called NOR that was traditionally used in most cellphones.

But with the rapid global rise of NAND, Numonyx would like to eventually raise its NOR versus NAND output to about 50-50, said one of the sources. (Reporting by Doug Young; Editing by Jonathan Hopfner)

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