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The head of Hynix Semiconductor Inc., the world's second-largest computer memory-chip maker, said Monday that his company will soon resume non-memory operations, following a three-year hiatus, and diversify its DRAM and flash memory-centered business portfolios. "Through water-tight preparations and strategy, we will push to re-start our own non-memory operations," Hynix CEO Kim Jong-gap said in a speech marking the 24th anniversary of the company's establishment.

On October, 2004, Hynix sold its non-memory unit to Citigroup's private equity unit Citigroup Venture Capital Equity Partners for 954.2 billion won (US$1.04 billion) in order to repay debts.

At the time, both sides reached a deal under which Hynix promised not to enter the non-memory market for three years. Kim said that the deadline expired on Oct. 5.

There have been media reports that Hynix will soon launch its own non-memory operations but it is the first time that the CEO has officially confirmed them. Detailed plans will likely be announced later this week when the company unveils its third-quarter earnings, observers say.

Hynix is the world's second-largest computer-chip maker following its hometown rival Samsung Electronics Co. The two are faced with sharply falling memory chip prices, prompted by an industry-wide oversupply in the market, which experts fear could further erode their bottom lines down the road.

SEOUL, Oct. 15 (Yonhap)