Hynix Semiconductor has started operation of its advanced 12-inch chip line in Cheongju, North Chungcheong Province.

Hynix has been building the M11 factory since April, last year. It can turn out 40,000 wafers monthly using 300 millimetres inch technology.

The company said that it will increase the monthly output capacity of the new plant to 100,000 units next year.

It will initially use 48-nanometre processing technology to produce high-density NAND flash memory chips, gradually upgrade this to 41-nanometre this year and the 30-nanometre level in 2009.

With the opening of the plant it looks certain the Korean company will kill off its now outdated M9 200 millimetre wafer line.

Hynix said it might delay the operation of the M11 line from March, because of falling chip prices. At the time analysts wondered why the company didn't kill off production completely. More at the Korea Times .X