Kioxia and Sandisk bet $31 billion on NAND flash as AI demand surges
Kioxia and Sandisk have announced anticipated investments in Japan totalling over USD 31 billion – approximately 5 trillion yen – contingent on government support. The investments, running through 2032, will support continued expansion of the companies' joint venture manufacturing operations at the Yokkaichi and Kitakami plants.
The two companies have invested over USD 50 billion in Japan through their joint venture, which spans more than 25 years and covers the development and manufacturing of NAND flash memory wafers. In January, Kioxia and Sandisk extended the joint venture framework at the Yokkaichi plant through December 2034, according to a press release from the companies.
"This joint investment further strengthens our longstanding partnership with Sandisk and underscores Kioxia's strong commitment to contributing to the advancement of an AI-driven society," said Hiroo Ota, President and CEO of Kioxia.
The latest investment commitment is framed around growing demand for flash memory in AI infrastructure and data-driven applications, with both companies committing to multi-year bit growth and stable supply.
"For decades, Sandisk and Kioxia have jointly developed world-class NAND flash memory technology. These planned investments will ensure our ability to support our customers' increasing demands for our technology," said David Goeckeler, Chairman and CEO of Sandisk.
The investments are described as aligned with the economic policy goals of the Takaichi administration in Japan.
