All articles tagged with #flash memory business
Western Digital Corp reported a wider-than-expected quarterly adjusted loss due to the impact of structural changes in its flash and HDD businesses, including underutilization-related charges. The company plans to spin off its flash memory business by the second half of 2024 and expects a current-quarter adjusted profit ranging from a loss of $0.10 to a profit of $0.20 per share.
Western Digital has announced plans to spin off its flash memory business after talks of merging the unit with Japan's Kioxia stalled. The split will create two publicly traded firms, with Western Digital focusing on its traditional hard-disk drive business. The move comes in response to demands from activist investor Elliott. The flash memory unit has been grappling with a supply glut, and the merger talks aimed to address this issue. However, the latest attempt at the deal stalled due to opposition from Kioxia investor SK Hynix. Western Digital's CEO stated that a stand-alone separation is the right next step for the company, and the planned separation is targeted for the second half of 2024.