Early this week Bloomberg News reported about assumed negotiations between Micron Technology and the US Department of Justice pertaining the allegations of DRAM price-fixing by the Boise, Idaho-based semiconductor firm. In case Micron manages to settle with the Department of Justice by admitting its cooperation with other DRAM companies in artificial setting prices on memory chips, Los Altos, California-based Rambus will be in a position to argue it was one of the injured parties.
The initial speculation was sparked by a Bloomberg News report Monday that Micron was in talks with the Department of Justice to win amnesty from prosecution by cooperating with a DOJ probe into possible price-fixing in the market for dynamic random access memory, according to Dow Jones Newswires.
The US Department of Justice is probing whether Micron Technology, Infineon Technologies AG, Samsung Electronics and Hynix Semiconductor cooperated in setting DRAM prices or not. In order to avoid prosecution, Micron might testify against other DRAM companies and even admit it conspired with them, Bloomberg reported.
“Any deal with Micron and Justice could weaken Micron’s position in an ongoing legal dispute with Rambus, and possibly lead to a settlement in Rambus’ favour,” according to Erach Desai, an analyst with American Technology Research quoted by CBS MarketWatch.
“Rambus would be able to argue that sales of its RDRAM type memory chips were harmed by alleged price fixing of competing chips,” Erach Desai said.
Currently Micron and Infineon do not pay royalties to Rambus, who says it owns patents on fundamental technologies used in SDRAM and DDR SDRAM memory products. However, in case Micron admits price-fixing and Rambus succeeds in proving its allegations against memory maker, there will be yet another positive sign for Los Altos, California-based technology company.
In 2003 Rambus won Infineon appeal of fraud, a suit with its shareholders’ as well as enjoyed positive ruling denying Infineon Technologies’ petition for a writ of certiorari in the litigation between Infineon and Rambus. On the other hand, the company was found guilty of destroying its documents and accused of illegal monopolisation of DRAM market.





