A power failure resulted in a brief disruption in the production process at the American Micron’s Taiwanese plant. Despite the incident, the company’s shares rose 2%. The factory produces about 10% of all DDR4 and LPDDR4 memory chips for PCs and servers in the world. Analysts believe the incident will contribute to further price growth for memory such as DRAM
Micron factory accident
In the plant of the American company Micron, there was a malfunction, which led to a brief stop in the production of DRAM memory chips. As a result of the shutdown, spot random access memory (DRAM) prices increased along with the company’s stock, writes Tomshardware.
According to the publication, the incident took place on December 3, 2020 at the Taiwanese Fab 11 factory, located near the city of Taoyuan. The cause of the incident is the failure of the power supply system, as a result of which the plant was turned off for a little over an hour.
As the source notes, immediately after the power failure in the company, mechanisms and procedures were used to minimize production losses and incidents.
After the resumption of electricity supply, production resumed. Micron is currently assessing the impact of the incident.