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Intel to sell NAND flash production to South Korea’s SK Hynix, but retains 3D Xpoint
Intel is preparing to sell its NAND division to South Korean chipmaker SK Hynix Inc for about $ 10 billion, the Wall Street Journal reported on Monday, citing people familiar with the matter. This data was confirmed by Reuters, which received information from its source.
REUTERS / Amir Cohen
The Intel division in question makes NAND flash memory chips, which are mainly used in devices such as solid state drives, memory cards and various gadgets. It is known that the American chip maker has been trying to get out of this business for some time due to falling prices for flash memory.
The conclusion of the transaction can be announced in the near future. The Wall Street Journal previously said the deal could be announced as early as Monday. Intel shares up almost 3% after this news.
A Reuters source clarified that Intel will sell its solid state drive business in the United States and its Dalian, China plant that makes an advanced version of NAND flash known as 3D NAND. At the same time, the company will retain its 3D XPoint advanced memory technology division.
The market for memory chips plummeted in 20221 amid oversupply, although it began to recover late last year. Analysts expect the NAND memory market to continue to grow in the coming years due to the increase in storage volumes triggered by the coronavirus pandemic.