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Samsung to start mass producing 18nm DRAM chips in 2016

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Last updated: December 28th, 2015 at 10:41 UTC+01:00

Samsung will apparently start mass producing DRAM chips with a new 1X-nano (18nm) process in 2016 according to a report from Electronic Times. The company plans to do this to cut production costs and to improve profitability since DRAM prices are predicted to continue to fall next year.

According to the report, Samsung, which is one of the fastest to implement new manufacturing processes, has finished developing 1X-nano DRAM chips and is looking to mass produce them starting Q1 2016. SK Hynix and Micron will follow the suit next year, but Micron is expected to be on the verge of making a loss after failing to use the new process.

Samsung started mass producing 20nm DRAM chips in 2014, and it was the first in the world to do so. As a result, the electronics giant was able to improve profits as well as market share by decreasing the production cost. According to DRAM Exchange, a market research company, the contract price of 4GB DDR3 D-RAM chip in November was $1.72, which is 49.1 percent lower than its cost from January.

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