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[Kadve]

https://videocardz.com/press-release/sk-hynix-to-acquire-intel-nand-memory-business

• SK hynix will pay US $9 billion for the Intel NAND memory and storage business, which includes the NAND SSD business, the NAND component and wafer business, and the Dalian NAND memory manufacturing facility in China.
• SK hynix aims to enhance the competitiveness of its NAND flash solutions as one of the leading global semiconductor companies and grow the memory ecosystem to the benefit of customers, partners, employees and shareholders.
• Intel will retain its Intel® Optane™ business and intends to invest transaction proceeds in long-term growth priorities.

I say this is pretty big, not just the sale itself, but isn't this like the first time ever Intel has made a significant downsizing?

 

[Evangelion Unit-01]

I missed this story the other day. It is an interesting move from Intel but I imagine they feel their future is in CPU/GPUs. They are getting jabbed on all sides right now with Nvidia's 3000 seres + arm acquisition, AMD's increasing market share + push into datacenter and laptop, and Apple moving to their own silicon.

 

[Slings and Arrows]

I missed this story the other day. It is an interesting move from Intel but I imagine they feel their future is in CPU/GPUs. They are getting jabbed on all sides right now with Nvidia's 3000 seres + arm acquisition, AMD's increasing market share + push into datacenter and laptop, and Apple moving to their own silicon.

Could they use the $9 billion to purchase another business that better fits their direction?

 

[Evangelion Unit-01]

Could they use the $9 billion to purchase another business that better fits their direction?

Certainly. They acquire companies all the time.

It isn't unusual for a company to shed some weight to refocus like this when their core business is sluggish. Intel has just historically been so dominate that they haven't really been in this position before. They did divest a software division a few years back if I recall correctly. They'll be fine once they get their ducks in a row.

 

[Slings and Arrows]

Certainly. They acquire companies all the time.

It isn't unusual for a company to shed some weight to refocus like this when their core business is sluggish. Intel has just historically been so dominate that they haven't really been in this position before. They did divest a software division a few years back if I recall correctly. They'll be fine once they get their ducks in a row.

Are Intel ready for this? Sometimes when companies go from domination to competition, they flag and fail. I suppose if worst comes to the worst, they can always fall back on a merger with AMD or Nvidia

 

[Rentahamster]

They still have 3D XPoint

 

[Evangelion Unit-01]

Are Intel ready for this? Sometimes when companies go from domination to competition, they flag and fail. I suppose if worst comes to the worst, they can always fall back on a merger with AMD or Nvidia

They'll be fine. This is a small strategic divestiture. They aren't in any position to worry. They're losing market share but it's a paper cut. They have a roadmap to get back on track and they'll execute on it just fine.

M&A with AMD and Nvidia isn't really in the cards for any of the parties involved.

 

[Compsiox]

Okay cool. I wish their ram was better though.