BOISE - Boise-based Micron Technology and Nanya Technology of Taiwan today formally announced a deal to create a joint venture to manufacture Dynamic Random Access Memory.

The newly formed company will be known as MeiYa Technology Corporation. The moniker is a combination of Micron and Nanya's names in Chineese.

The two companies announced they were in talks for the joint venture last month – and have now signed the deal.  The new business will upgrade Nanya’s existing 200 millimeter manufacturing plant in Taiwan – to use new 300mm technology.  The conversion should be complete in 2009.

“This partnership brings greater scale and efficiency to the DRAM manufacturing operations of both parent companies, and Micron is pleased to officially enter into this joint venture with Nanya,” Micron president and COO Mark Durcan said in a prepared statement.

DRAM is commonly used in personal computers to store information for short periods of time during the operation of a computer.

Each company is putting $550 million toward the joint venture through the end of 2009 – and both Micron and Nanya will own a 50% share in the operation. The joint venture will be based in Taiwan, and will be largely staffed by Nanya, according to Micron spokesperson Dan Francisco. A "handful" of Micron employees - including some from Boise - will be involved with MeiYa.

Micron last month also announced plans to build a new fabrication plant at its Boise headquarters - which is separate from the Nanya joint venture.