Chinese DRAM Producer Announces Massive Investment in R&D and Wafer Testing

The firm, listed on the Shanghai Stock Exchange’s Star Market, would spend 24.1 billion yuan on a new technology research and development project and another 10.8 billion yuan on the second phase of a wafer testing base, according to a Monday stock filing.

The spending plan underscores the capital-intensive nature of the dynamic random-access memory (DRAM) producer’s push into more advanced products. Nearly 22.4 billion yuan, or about 93 per cent of the R&D project’s budget, would go towards equipment purchases, the filing said.