Intel completes first closing in sale of NAND and SSD business to SK Hynix

Intel said that it will continue to manufacture NAND wafers at SK Hynix's Dalian memory manufacturing facility and retain certain IP related to the manufacture and design of NAND flash wafers until the final closing of the transaction which is expected to occur in or after March 2025, when SK Hynix will acquire from it the remaining NAND business assets for USD 2 billion.

Late last year, Intel and South Korean chipmaker SK Hynix announced an agreement under which the latter would acquire Intel's NAND memory and storage business for USD 9 billion. Now, Intel has completed its first closing in the sale of its NAND and SSD business to the Seoul-based firm.

Intel has sold its SSD business (including the transfer of certain NAND SSD-associated intellectual properties (IP) and employees) and the Dalian NAND memory manufacturing facility in China to SK Hynix, the company said in a statement on Wednesday, adding that the Korean chipmaker will pay it USD 7 billion in consideration.

The SSD business will transition to Solidigm, a subsidiary of SK Hynix.

Intel said that it will continue to manufacture NAND wafers at SK Hynix's Dalian memory manufacturing facility and retain certain IP related to the manufacture and design of NAND flash wafers until the final closing of the transaction which is expected to occur in or after March 2025, when SK Hynix will acquire from it the remaining NAND business assets for USD 2 billion.

With this acquisition, SK Hynix, the world&rsquo's top tier semiconductor supplier, aims to enhance the competitiveness of its storage solutions, including enterprise SSDs, in the rapidly growing NAND flash space, and further aims to leap forward as one of the leading global semiconductor companies in the industry.