Korea-based memory chip maker Hynix Semiconductor revealed on June 20 that the company will form a strategic alliance with Taiwanese chip design house Phison Electronics, according to China Times of Taiwan. The terms of the deal require Hynix to spend NT$346.5 million (US$11.4 million; US$1=NT$30.4) for 2% stake in Phison. Furthermore, Hynix will supply NAND flash memory chips to Phison until year-end 2009, and an initial payment of NT$26.4 million (US$868,993) is payable to Hynix in return, Reuters reported.