Technology giants Intel and Micron hammered out revised agreements to expand their NAND Flash memory joint venture relationship, the two companies announced this week. As part of the agreements, Micron will buy back Intel's stake in two wafer fabrication plants for $600 million, half of which will be paid in cash and the rest deposited with Micron to be refunded or applied to Intel's future purchases.
"The Intel-Micron partnership has created industry-leading NAND Flash memory technology and developed a robust global manufacturing network. The new NAND Flash supply agreement with Micron gives Intel better flexibility to meet growing demand for SSDs and other products," said Robert Crooke, Corporate Vice President and General Manager of the Non-Volatile Memory Solutions Group, Intel.
NAND flash memory is used in a wide range of devices, including USB thumb drives, solid state drives (SSDs), tablets PCs, smartphones, and the list goes on. Intel and Micron have been working together for years to produce NAND flash memory and formed the joint venture IM Flash Technologies (IMFT). As part of these new agreements, Micron will increase its share of the overall output.
The deal is expected to close during the first half of 2012.