Chipmaker Micron Technology and storage specialist Western Digital (WD) are reportedly exploring their own individual deals to purchase the Japanese chipmaker, Kioxia Holdings Corp. According to a WSJ report, any deal struck between the Japanese brand and either company could raise its value to as much as US$30 billion (~RM124 billion).
Kioxia was previously a part of the Toshiba Memory division, but found independence in 2019. Sadly, due to the ongoing COVID-19 pandemic and the global chip shortage it has caused, companies such as Micron and WD are seeking ways to keep afloat, even going so far as to considering acquiring another chipmaker. As a way of having more assembly lines open.
As you all know, the COVID-19 pandemic has utterly ravaged the world’s economy, with the chip-making industry being one of the most severely affected. The shortage of chips, unsurprisingly, has had a trickle-down effect; the most glaring of them being the ongoing CPU and GPU shortage in the PC industry, as well as the production of game consoles.
The automotive industry has also been feeling the pinch, as the lack of chips in their inventory is causing delays in their production of cars. Even Foxconn, the Taiwan-based chipmaker, announced recently that it has been affected, with its CEO even saying that it is likely that the issue will continue well into 2022.
(Source: Reuters // Image: Kioxia)