Rambus is Changing Business Model

After years of legal struggles and law suits fights to defend their patents, Rambus decided to change its business model and enter into the market with its own brand.

Founded in 1990, Rambus was born to develop high-speed DRAM memory chips licensed to third companies that insert them into computers/laptop and handheld devices. However, this private labeling strategy, soon turned against Rambus itself resulting in an endless and painful series of legal battles against companies unwilling to pay the licensing fees.

Inspired by Qualcomm’s processors manufacturing strategy, Rambus will outsource the chips’ production to external companies later in 2015. The company will create add-on memory chips that help reduce bottlenecks between a CPU chip and its memory. Among the benefits of this new managerial decision are the controlling design implementation and marketing the technology to customers in a more turn-key format, avoiding the customization inside their existing hardware.

Memory companies such as Hynix, Micron and Samsung will be major target market together with web-scale customers and companies that have applications with a lot of memory demands.