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Kioxia and Western Digital Build Huge 3D NAND Flash Factory
Japan’s Kioxia (formerly Toshiba Memory) teamed up with Western Digital to build its largest flash memory plant. The area of Fab7 will be 40 thousand. m2, and investments will reach $ 10 billion. Partners hope this will help meet the growing demand for chips for SSD drives and beyond.
Kioxia’s Fab7 plant as seen by an artist. Image source: Kioxia
Kioxia announced plans to begin construction of a new plant in the Yokkaichi complex in October last year. Then the preparatory work had already begun before the construction of the buildings began. Today the company announced that it has held a groundbreaking ceremony for Fab7, and construction work will be completed next spring. Then it will take another year for the delivery, installation and adjustment of industrial equipment, after which production will begin.
We add that Kioxia plans go even further than the construction of a new plant in Yokkaichi. In the spring of this year, preparatory work will begin for the construction of another plant for the production of flash memory in the Kitakami complex. Kioxia and Western Digital’s K2 Kitakami plant is expected to begin construction next spring, unless partners’ plans change.
Historically, Kioxia (Toshiba Memory) ranked second in the NAND flash market for decades, roughly twice the market share of Samsung. But in the next three years it can be moved by SK Hynix. The latter agreed to buy the flash memory business from Intel, so the combined share of both promises to be higher than the market share of Kioxia. Obviously, the Japanese are not going to put up with this, and the growing demand for flash memory only contributes to this. Construction money will pay off handsomely.