The Korea Times is reporting that the Korean Government is trying to enhance measures to protect the intellectual property rights of Samsung Electronics and SK Hynix. The move comes after Chinese officials are putting increased pressure on the companies to cross-license more of their technology to Chinese manufacturers.
Can't blame the Korean government wanting to protect the IP's of Samsung and SK Hynix, however I can also see the desire for Chinese companies to get licensed more of their tech. The current memory shortage coupled with the fact that Samsung, SK and Micron supply over 90% of the global DRAM chips, it would be nice for another player to be allowed in the game.
"Competition in memory chips can be brutal where technological leadership leads to cost advantages and any significant disadvantage can challenge even the deepest pockets. This could mean significant losses in an oversupply scenario. A Taiwan case study is a miserable tale. What happened to the Taiwanese DRAM industry in the 2000s is a good reminder to China of what not to do," said Mark C. Newman, a senior analyst at Bernstein Research.
Can't blame the Korean government wanting to protect the IP's of Samsung and SK Hynix, however I can also see the desire for Chinese companies to get licensed more of their tech. The current memory shortage coupled with the fact that Samsung, SK and Micron supply over 90% of the global DRAM chips, it would be nice for another player to be allowed in the game.
"Competition in memory chips can be brutal where technological leadership leads to cost advantages and any significant disadvantage can challenge even the deepest pockets. This could mean significant losses in an oversupply scenario. A Taiwan case study is a miserable tale. What happened to the Taiwanese DRAM industry in the 2000s is a good reminder to China of what not to do," said Mark C. Newman, a senior analyst at Bernstein Research.