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Micron bows out of SRAM business

The memory maker, refocusing its efforts, says that it will stop producing its static RAM products, which are used mainly in communications equipment.

Micron Technology will exit the static RAM business.

The memory maker on Thursday said it would stop producing its synchronous SRAM products, which are used mainly in communications gear.

SRAM is typically used to store frequently accessed data in a cache close to the processor that will be handling it. It is faster than dynamic random access memory (DRAM) or flash memory, which are employed in PCs and electronic gadgets. But SRAM is typically used more selectively and in much smaller amounts, because it costs more.

Micron has been through several rocky years as a result of the economic and PC market downturns that began in late 2000. In February of this year, it announced plans to eliminate 10 percent of its work force of about 18,500 and refocus on products with greater potential for high unit volumes.

Abandoning the SRAM segment of the memory market is consistent with that strategy, the Boise, Idaho, company said in a statement.

As part of its exit strategy, Micron will sell its remaining SRAM inventory to Cypress Semiconductor, which will distribute the memory. Cypress will also offer to supply former Micron customers in the future. The terms of the agreement were not disclosed.

"We believe this agreement provides the best long-term solution for our customers," Jan du Preez, Micron's vice president of networking and communications, said in a statement. "It gives our customers an uninterrupted supply of SRAM devices from a world-class supplier while allowing Micron to redirect resources and focus on our higher-volume semiconductor products."

Micron is one of the world's largest producers of DRAM for PCs. It also offers flash memory and Pseudo SRAM, which is similar in performance to SRAM, but costs less.