SK hynix pays US $9 billion for the Intel NAND memory and storage business, which includes the NAND SSD enterprise, the NAND component and wafer business, and the Dalian NAND memory manufacturing facility in China. SK hynix aims to reinforce the competitiveness of its NAND flash options as one of the leading international semiconductor companies and develop the memory ecosystem to the profit of customers, partners, workers and shareholders. Intel will retain its Intel® Optane™ business and intends to speculate transaction proceeds in lengthy-time period progress priorities. SK hynix pays US $9 billion for the Intel NAND memory and storage business, which includes the NAND SSD business, the NAND part and wafer enterprise, and the Dalian NAND Memory Wave Routine manufacturing facility in China. SK hynix goals to boost the competitiveness of its NAND flash solutions as one of the leading global semiconductor companies and grow the memory ecosystem to the profit of consumers, companions, workers and shareholders. Intel will retain its Intel® Optane™ business and intends to speculate transaction proceeds in long-time period progress priorities.

SK hynix and Intel at this time introduced that they've signed an settlement on Oct. 20, KST, under which SK hynix would acquire Intel’s NAND memory and storage enterprise for US $9 billion. The transaction contains the NAND SSD business, the NAND component and wafer enterprise, and the Dalian NAND memory manufacturing facility in China. Intel will retain its distinct Intel® OptaneTM enterprise. SK hynix and Intel will endeavor to acquire required governmental approvals anticipated in late 2021. Following receipt of these approvals, SK hynix will acquire from Intel the NAND SSD enterprise (together with NAND SSD-related IP and employees), as properly as the Dalian facility, with the first payment of US $7 billion. SK hynix will acquire from Intel the remaining assets, together with IP related to the manufacture and design of NAND flash wafers, R&D employees, and the Dalian fab workforce, upon a ultimate closing, expected to happen in March 2025 with the remaining fee of US $2 billion. Per the settlement, Intel will proceed to manufacture NAND wafers at the Dalian Memory Wave Manufacturing Facility and retain all IP associated to the manufacture and design of NAND flash wafers till the ultimate closing.
britannica.com

With this acquisition, SK hynix goals to reinforce the competitiveness of its storage options, including enterprise SSDs, in the quickly rising NAND flash house, and further goals to leap ahead as one of the leading global semiconductor corporations within the industry. SK hynix expects that the transaction would allow SK hynix to develop the memory ecosystem to the profit of shoppers, companions, employees and shareholders. As the worldwide chief within the semiconductor industry, Intel possesses industry-main NAND SSD know-how and quadruple level cell (QLC) NAND flash products. For the first six months ended June 27, 2020, the NAND companies represented roughly US $2.8 billion of the revenue for Intels Non-risky Memory Solutions Group (NSG) and contributed approximately US $600 million to NSG operating income. SK hynix developed the world’s first Charge Trap Flash (CTF)-based, 96-layer 4D NAND flash in 2018 and 128-layer 4D NAND flash in 2019. SK hynix will combine Intels options know-how and manufacturing capability so as to determine a higher value-added 3D NAND solutions portfolio including enterprise SSDs.

Intel intends to invest transaction proceeds to ship leadership merchandise and advance its long-time period development priorities, including artificial intelligence, 5G networking and the clever, autonomous edge. Intel and SK hynix will work together to ensure a seamless transition for customers, suppliers and staff. The two corporations will work collaboratively as they did not too long ago with DDR5, to raised serve the rising demand from the memory-primarily based semiconductor ecosystem. "I am pleased to see SK hynix and Intel`s NAND division, which have led the NAND flash know-how innovation, work to construct the brand new future together," said Seok-hee Lee, Chief Government Officer (CEO) of SK hynix. Bob Swan, Intel CEO stated, "I am happy with the NAND Memory Wave business now we have built and imagine this combination with SK hynix will develop the memory ecosystem for the profit of shoppers, partners and staff. Citi served as financial advisor and Skadden, Arps, Slate, Meagher & Flom LLP, K&C and Fangda Partners served as authorized counsel to SK hynix.