SK Hynix boosts NAND memory portfolio with Intel acquisition

South Korea’s SK Hynix will acquire Intel’s NAND memory and storage business for US$9 billion. Subject to government approvals expected end 2021, the deal will include the NAND SSD business, the NAND component and wafer business, and the Dalian NAND memory manufacturing facility in China.

Under the agreement, Intel will continue to manufacture NAND wafers at the Dalian Memory Manufacturing Facility and retain all IP related to the manufacture and design of NAND flash wafers until the final closing.

This acquisition will boost SK Hynix’s portfolio of storage solutions, including enterprise SSDs in the rapidly growing NAND flash space.

“By taking each other’s strengths and technologies, SK hynix will proactively respond to various needs from customers and optimise our business structure, expanding our innovative portfolio in the NAND flash market segment, which will be comparable with what we achieved in DRAM,” said Seok-Hee Lee, CEO of SK Hynix

“For Intel, this transaction will allow us to further prioritise our investments in differentiated technology where we can play a bigger role in the success of our customers and deliver attractive returns to our stockholders,” said Bob Swan, CEO of Intel.