Electronic components supplier Lite-On Technology Corp (光寶科技) yesterday said that its board of directors has approved the sale of its solid state drives (SSD) business to Toshiba Memory Holdings Corp for US$165 million.
Toshiba Memory, which is 40 percent owned by Toshiba Corp, is the world’s second-largest supplier of NAND flash memory chips.
SSD is a storage device used in consumer electronics, and enterprise and industrial equipment that is based on semiconductor NAND flash memory that Toshiba developed in 1987.
The transaction includes the operations and assets of Lite-On’s storage unit, with equipment, workers, intellectual property, technology, client and supplier relationships and inventories, Lite-On said.
The transfer needs to be approved and is estimated to be completed by April next year, Lite-On said.
The deal would not have a material effect on its finances and operations, the company said.
Nobuo Hayasaka, acting president and chief executive officer of Toshiba Memory, said in a statement that the acquisition of Lite-On’s SSD business positions it to meet projected growth in demand for SSDs in PCs and data centers, amid increased cloud services.
The Japanese multinational computer manufacturer’s move to acquire Lite-On’s SSD business would expand its sales channels and make use of Lite-On’s partnerships with US PC manufacturers such as Dell Inc, Business Korea reported two weeks ago.
Earlier, the Japan Times reported that Toshiba Memory was to postpone its initial public offering from next month until early next year, as the company’s earnings have been dragged by low demand for NAND flash memory chips amid the US-China trade dispute.
The company’s earnings were also affected by a power cut at its plant in central Japan in June, which resulted in a partial suspension for nearly a week.
Quanta Computer Inc (廣達) chairman Barry Lam (林百里) is expected to share his views about the artificial intelligence (AI) industry’s prospects during his speech at the company’s 37th anniversary ceremony, as AI servers have become a new growth engine for the equipment manufacturing service provider. Lam’s speech is much anticipated, as Quanta has risen as one of the world’s major AI server suppliers. The company reported a 30 percent year-on-year growth in consolidated revenue to NT$1.41 trillion (US$43.35 billion) last year, thanks to fast-growing demand for servers, especially those with AI capabilities. The company told investors in November last year that
Intel Corp has named Tasha Chuang (莊蓓瑜) to lead Intel Taiwan in a bid to reinforce relations between the company and its Taiwanese partners. The appointment of Chuang as general manager for Intel Taiwan takes effect on Thursday, the firm said in a statement yesterday. Chuang is to lead her team in Taiwan to pursue product development and sales growth in an effort to reinforce the company’s ties with its partners and clients, Intel said. Chuang was previously in charge of managing Intel’s ties with leading Taiwanese PC brand Asustek Computer Inc (華碩), which included helping Asustek strengthen its global businesses, the company
Taiwanese suppliers to Taiwan Semiconductor Manufacturing Co. (TSMC, 台積電) are expected to follow the contract chipmaker’s step to invest in the US, but their relocation may be seven to eight years away, Minister of Economic Affairs J.W. Kuo (郭智輝) said yesterday. When asked by opposition Chinese Nationalist Party (KMT) Legislator Niu Hsu-ting (牛煦庭) in the legislature about growing concerns that TSMC’s huge investments in the US will prompt its suppliers to follow suit, Kuo said based on the chipmaker’s current limited production volume, it is unlikely to lead its supply chain to go there for now. “Unless TSMC completes its planned six
Power supply and electronic components maker Delta Electronics Inc (台達電) yesterday said it plans to ship its new 1 megawatt charging systems for electric trucks and buses in the first half of next year at the earliest. The new charging piles, which deliver up to 1 megawatt of charging power, are designed for heavy-duty electric vehicles, and support a maximum current of 1,500 amperes and output of 1,250 volts, Delta said in a news release. “If everything goes smoothly, we could begin shipping those new charging systems as early as in the first half of next year,” a company official said. The new
RSS