Kioxia Holdings CEO Hiroo Ota rejected a deeper manufacturing alliance with rival memory-chip maker SK Hynix. Ota cited significant antitrust hurdles and existing obligations to SanDisk as primary obstacles. The statement clarifies Kioxia's strategy following speculation fueled by SK Hynix’s ownership of Kioxia convertible bonds.
Kioxia will instead prioritize its long-standing joint venture with SanDisk to expand production in Japan. The partners plan to invest over 5 trillion yen in the project. This investment is equivalent to approximately $33 billion.
Ota confirmed that Kioxia is not engaged in any joint production discussions with SK Hynix. NAND memory prices have recovered to sufficient levels for the company. Kioxia now aims to avoid sharp price hikes to protect long-term AI-related investments from its customers.