We investigate the Gregory-Laflamme instability for bound states of branes in type II string theory and in M-theory. We examine systems with two different constituent branes: for instance, D3-F1 or D4-D0. For the cases in which the Gregory-Laflamme instability can occur, we describe the boundary of thermodynamic stability. We also present an argument for the validity of the Correlated Stability Conjecture, generalizing earlier work by Reall. We discuss the implications for OM theory and NCOS theory, finding that in both cases, there exists some critical temperature above which the system becomes unstable to clumping of the open strings/membranes.
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