Samsung bullish on global semiconductor industry for 2006

The article” Samsung bullish on global semiconductor industry for 2006” appeared on The Mercury News.com on March 11th, 2006. In the article, Hwang Chang-gyu, president of Samsung Electronics Co. predicts that there will be increased demand for chips used in digital devices and personal computers. The demand of Nand chips, due to their ability to store data even when switched off, increased dramatically since the release of Apple’s computer Inc.’s iPod nano. Nand chip is widely used in consumer electronics such as MP3 players and digital Camera. According to Hwang, the market for Nand chips will rise 22 percent in 2006.Samsung also unveiled the PRAM, a new type of memory chip that allows devices to work faster by saving new data about 30 times faster than conventional flash memory. Samsung claims that the release of Windows Vista Operating system early next year will boost the demand of their DRAM, a memory chip that is commonly used for memory storage in personal computers.

French law could sever iPod-iTunes

MercuryNews.com published French law could sever iPod-iTunes link on September 27, 2006. In the article, the newly passed internet copyright law in France enforces Apple Computer Inc. to make its iPod player and iTunes online store compatible with rival offerings. The law was crafted as an effort to crack down piracy and level the market field for smaller rivals of Apple and Sony Corp. Currently music bought on iTunes can only be played in Apple's iPod. The original French law requires companies to share technical data with any rivals. However, Apple protested that opening its formats would further encourage pirates. As a result, the law was being left up to government regulators to decide on a case-by case basis, it also allows companies to seek compensation for sharing their technologies. Apple indicated that it was not willing to open its iTunes downloads to rival portable music players even with the promise of compensation. Apple may dodge the technology-sharing demand by striking individual deals with record labels and artists. Therefore, the law was expected to have little immediate effect.

In the article, Apple computer Inc. don’t allow iPod player and iTunes online store compatible with rival offerings even France enforces it. France is a host government. France government should install rules to regulate international business. Apple should comply when the France regulations do not unduly constrain their preferred mode of operations, when benefits are sufficiently attractive despite the France regulations or when Apple cannot alter the regulations with their advantage. This article demonstrates Apple should share their technologies with their rivals. Apple has a strong bargaining position in France when they control certain type of assets include: Technology, marketing expertise, export performance, product diversity, and the value of FDI. Apple has high technology to produce iPod is deemed to the countries’ economic development.

EU looking at charges that Intel pressured retailer

The article“EU looking at charges that Intel pressured retailer,”appeared on The Mercury News.com on September 28, 2006. In this article, the writer states that EU is investigating the case that Intel Corp. urged Media Market not to sell computers that use chips made by Advanced Micro Devices Inc. AMD Inc. filed a complaint to the German antitrust office, details about the type of pressure Intel put on Media Market were not given.Intel spokesman Chuck Mulloy insists that Intel’s business practices are fair and lawful and Intel will continue to be cooperative with EU regulators during the investigation. AMD Inc. filed complaints in 2002, while EU did not have enough evident to pursue. In 2005, AMD. Inc. filed another complaint that EU officials had no choice but to investigate, or risk AMD Inc. taking court action of negligence.