Samsung has a dream deal with Nokia

Korea's Samsung Electronics announced it has inked an exclusively supply deal with Nokia. Under the terms of the deal, Samsung will be Nokia's exclusive supplier of DRAM chips to be used in the company's advanced wireless telephones.

"Nokia asked us to make DRAM chips suitable for its advanced mobile phones and we struck a deal," said James Chung, a spokesman for Samsung Electronics. Samsung will supply 64 megabit DRAM chips for mobile pones to Nokia which will be increased to 128 Mb chips later on. The company is said to be in discussion with Motorola and Siemens for similar deals.

Until recently SRAM chips have been used in most mobile phones. But manufacturers are increasingly switching to DRAMs that are much cheaper and offer more storage capacity.

(SVNS)