Private company

Qimonda

2006–2011 German computer memory manufacturer

Qimonda AG ( kee-MOHN-də) was a German memory company split out of Infineon Technologies (itself a spun off business unit of Siemens AG) on 1 May 2006 to form at the time the second largest DRAM company worldwide, according to the industry research firm Gartner Dataquest. It was a patent licensing firm until Micron and others purchased its patents. Headquartered in Munich, Qimonda was a 300 mm manufacturer and was one of the top suppliers of DRAM products for the PC and server markets.² It was founded in 2004.¹ It ceased to exist in 2009.¹ Wikipedia text CC BY-SA 4.0

Last updated Oct 21, 2026.

Overview

2004Founded¹

HeadquartersMunich¹
Websitewww.qimonda.com
Legal formAktiengesellschaft¹
Listed onNew York Stock Exchange¹

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Qimonda AG ( kee-MOHN-də) was a German memory company split out of Infineon Technologies (itself a spun off business unit of Siemens AG) on 1 May 2006 to form at the time the second largest DRAM company worldwide, according to the industry research firm Gartner Dataquest. It was a patent licensing firm until Micron and others purchased its patents. Headquartered in Munich, Qimonda was a 300 mm manufacturer and was one of the top suppliers of DRAM products for the PC and server markets. Infineon still controlled a 77.5% stake in 2008, which it later wrote down. Infineon was on record as having the aim of divesting itself of this stake, with the purpose of becoming a minority stakeholder in 2009. The company issued 42 million ADR shares, each ADR share representing one ordinary share in Qimonda.²

Products and brands

computer memory

Listed on Wikidata.¹

Products and achievements

Qimonda produced computing and consumer DRAM, graphics RAM, mobile RAM and Flash memory.

Qimonda was primarily reliant on its Deep Trench technology in comparison to the stack capacitor systems of its rival manufacturers. Deep Trench has the benefit of a theoretically smaller footprint than its stack capacitor rival. With approximately one-third lower power consumption due to lower leakage currents, its advantages lie in mobile and laptop applications where power supply is a limiting factor. Although offering significant advantages, deep trench technology is technically difficult to manufacture and has led to slippage of Qimonda's technology shrink roadmap in comparison to many of its rivals in recent years.

In 2008, Qimonda announced the development of its Buried Wordline Technology. Retaining many of the advantages of Deep Trench technology, in theory it simplifies the manufacturing process and the time provided Qimonda with a competitive technology shrink roadmap. All 200 mm manufacturing ended by January 2009.

On September 18, 2006, Qimonda AG along with Nanya Technology Corporation announced the successful qualification of the 75 nm DRAM trench technology. Process structures of 75 nm further reduce chip size compared to the previous 90 nm technology thereby increasing potential chip output per wafer by about 40 percent.

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On November 1, 2007, Qimonda AG announced shipment of first GDDR5 samples.

On February 3, 2009, Qimonda AG announced the first 46 nm working production chips using its Buried Wordline technology, fabricated at its Dresden 300 mm plant.

Production sites

Dresden, Germany

Vila do Conde, Portugal. This factory was for some years (up to 2007) the biggest Portuguese exporter.

Richmond, Virginia, United States. (Ceased operation and was closed on April 1, 2009.)

Senai, Johore, Malaysia.

From Wikipedia’s article on Qimonda, shared under CC BY-SA 4.0.³

Controversies and legal

Bankruptcy and Litigation

Qimonda AG

Qimonda AG and Qimonda Dresden OHG filed for insolvency protection on January 23, 2009 (similar to Chapter 11 bankruptcy in U.S. courts), stating that the promised bailout package had not become available in time. They requested the insolvency protection be backdated to January 1, 2009. However, subsequent media reporting of the event suggests that the agreement to the package fell apart at the last minute, and so was not available. It is reported that shortly prior to filing, Qimonda had requested a further €300 million on top of the already-agreed €325 million. The backers then refused to meet the demands.

The company also published its yearly accounts, which had been delayed several times from its normal release date at the end of October 2008. This showed a drop in net sales to €1.79 billion, down from the previous year's filing of €3.61 billion.

The Munich court appointed Dr. Michael Jaffé as administrator. Dr. Jaffé is a lawyer who specialises in insolvency and restructuring. His most famous previous case was his handling of the collapse of the KirchMedia group. In a press release, CEO Kin Wah Loh stated, “German insolvency laws offers [sic] the opportunity to accelerate the restructuring process that has already been started in order to reposition the company back onto a solid base”. Under German law, the operating costs (including salaries) are underwritten by the government for three months. This means that Qimonda had until March 31, 2009 to secure a solution to its current insolvency issues.

In the days after the announcement, general DRAM spot market prices increased by a peak of 26% from their lowest recorded levels in January. However, within a month of the announcement they had returned to their previous level.

The Dresden site plodded ahead with 46 nm Buried Wordline development and produced the first working samples at the beginning of February 2009. It was hoped that the improved technological and cost advantages of the BWL technology would attract new investors or business partners before insolvency cover ends on March 31, 2009.

On March 13, 2009, according to EETimes, Qimonda in Dresden ceased all DRAM production for the time being. "We have not pulled the plug, we just went to standby-mode," a spokesperson explained. The company together with the administrator had been searching for fresh capital, but it was not possible to finalise a deal by the end of March, which was the end of the insolvency period. The 300 mm Dresden plant will be idled until such time as its future has been decided. Without either a partner to purchase Qimonda or an investor to recapitalise Qimonda, Qimonda's existence as an ongoing concern was dubious at best. Michael Jaffe, the insolvency administrator appointed by a German bankruptcy court, announced that Qimonda is closer to liquidation.

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By then, Qimonda Richmond was down to a skeleton crew of approximately 60 people, including 10 staff managers. Prior to the layoffs, the level of staff managers was 10 as well.

On March 16, 2009, China's Inspur ended talks to buy Qimonda.

On April 14, 2009, Qimonda laid off 800 employees in Portugal.

Qimonda North America

On or about Feb 7, 2009, a laid-off Qimonda employee began legal proceedings against Qimonda North America (QNA) for recompense for two months' worth of pay and benefits in a federal class-action lawsuit. The suit alleges that employees were not given their 60-day written notice of termination or 60 days' severance pay required under the federal Worker Adjustment and Retraining Notification Act (dubbed WARN). Qimonda argued that the “faltering company” exemption under WARN applies, which allows the company to fail to give notice where such advance notice may inhibit the company’s ability to find capital or business with which to continue operating. Several class action lawsuits were filed.

On February 18, 2009 (two days before filing for bankruptcy), the Richmond Times-Dispatch posted an article stating that QNA CFO Miriam Martinez sent out notices to previously laid-off employees informing them that Qimonda North America and Qimonda Richmond were now not in a financial position to honor its severance agreements to those affected employees from the (previous) 200 mm line closure announced in October 2008.

Qimonda North America Corp. and Qimonda Richmond LLC filed for Chapter 11 bankruptcy protection on February 20, 2009 in the U.S. Bankruptcy Court in Delaware.

In their filing, the company lists more than $1 billion in assets and liabilities each, and estimated between 10,000–25,000 creditors. The files’ listing of top 30 creditors shows a total of over $54.2 million owed to traders. QNA CFO Miriam Martinez issued a statement announcing that under the conditions of the bankruptcy filing, all those employees made redundant by the company on or before the date of bankruptcy could no longer be paid any credit due without court authority. This meant that QNA employees who had not already been paid severance would no longer receive any salary, unused vacation time or severance owed to them. This affected the majority of the workforce. Employees' due costs under VISA regulations would also receive no compensation.

Those employees remaining with the company from February 20 onwards would only receive pay and benefits from that day forward, up to a maximum of $10,950. Therefore, no payment would be made to those employees for the work performed between February 7 and February 20.

As a result of the bankruptcy filing, due to the unpaid wages, unpaid vacation balances, no severance, the unpaid severance of those who have severance agreements, and no 60 days' notice of a plant closure as required by the WARN Act, former workers at Qimonda LLC and Qimonda NA in Richmond, VA have decided to file a class action lawsuit against Qimonda to try and recover the unpaid wages, unpaid vacation balance, unpaid severance, and to get 60 days pay for a plant closure as required by the WARN act. The workers were paid before unsecured creditors (e.g., vendors), but after secured creditors. All for a small fraction of their previous entitlement. The Delaware Bankruptcy Court judge agreed to approve a $35.3 million WARN settlement in August 2011.

The Richmond site was only capable of manufacturing Qimonda's 75 nm Deep Trench technology chips with the manufacturing equipment available there. The concurrent DRAM pricing did not make this a viable manufacturing prospect given the financial situation due to the graphics chips, which were developed by the Richmond fab, being transferred to Dresden by Qimonda AG prior to shutting down Qimonda LLC. Because Dresden was the core DRAM development site, manufacturing equipment capable of producing their (at the time, developmental) 46 nm Buried Wordline chips, with its reduced manufacturing cost benefits, was already on site. A corporate decision was taken to consolidate losses by closing the Richmond site. The Richmond fab would not be capable of 46 nm BWL manufacture without substantial new equipment investment, requiring money that Qimonda did not have. Qimonda AG, however, moved the 75 nm video DRAM processes, which commanded a price premium over commodity PC DRAM products, from Richmond to Dresden in the months prior to shutting down Richmond. Transferring the graphics chips process away from Richmond made the situation at Qimonda LLC intractable.

On April 2, 2009, Qimonda put the Richmond, VA site for sale.

On June 22, 2009, Qimonda Richmond is filing a petition in bankruptcy court to allow 46 employees to receive a bonus payment totaling $1.24 million. However, as one may recall, Qimonda declared bankruptcy on Feb. 20, 2009 in Federal Court in Delaware. As a result, many employees did not receive their final paycheck, nor did many employees receive cash in lieu of their vacation balance.

On June 25, 2009, the bankruptcy court in Delaware allowed Qimonda Richmond to pay out a $1.24 million bonus to 46 employees as a part of a "shut down" bonus. No mention was made concerning those who hadn't received their vacation pay or a severance or in some cases, their final paycheck.

On July 1, 2009, former Qimonda employees gathered outside of Qimonda Richmond to protest the $1.24 million payout bonus to 46 employees. Virginia State Delegate Joe Morrissey of the 74th district was present at the protest.

In May 2010, the Qimonda signs were permanently removed from the Sandston, Virginia facility.

The Sandston facility was purchased by Quality Technology Services and converted into a massive datacenter.