SanDisk and Kioxia to Invest Over $31 Billion in Japanese Memory Plants by 2032
Flash memory companies SanDisk (SNDK) and Kioxia announced plans to invest more than $31 billion into their manufacturing facilities in Japan through 2032. The investment will focus on infrastructure upgrades at the Yokkaichi and Kitakami plants, as well as technology development for NAND flash production. The funding is part of a joint venture called Flash Ventures, which operates eight Japanese facilities. SanDisk holds a 49.9% stake in these entities, while Kioxia owns the physical assets. The investment plan represents about 60% of what both companies have spent together over their more than two decades-long partnership. Despite concerns that this large-scale spending contradicts earlier statements by SanDisk executives emphasizing capital efficiency and technology-driven growth, analysts suggest the $31 billion figure aligns with existing guidance for capital expenditures as a percentage of revenue. The plan also depends on Japanese government support.
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Topics: capital_expenditure joint_venture manufacturing_expansion