Kioxia ships next-gen flash memory chips for AI data centers

What happened

Kioxia Holdings began shipping samples of its 10th-generation 3D flash memory chips to AI data center operators. The new chips can store 59% more data compared with its previous flagship 8th-generation chip and will be produced at the company's Kitakami plant in Iwate Prefecture. Kioxia's stock rose 8.9% on Friday.

Why it matters

Kioxia held only 10% of the data-center NAND flash memory market last year, trailing Samsung Electronics (40%) and SK Hynix (30%), who bundle memory with high-bandwidth memory chips. According to analyst Akira Minamikawa, Kioxia's NAND chips have superior data processing speed for U.S. hyperscalers (large cloud providers), and the new generation is positioned to be competitive. This move helps Kioxia reduce reliance on smartphone manufacturers like Apple.

What to watch

Production will take place at Kioxia's second Kitakami facility, which began operating in September last year. The chips are intended for solid-state drives and will be used as AI agents and robots drive demand for data center storage. Stock volatility remains a concern as questions persist over the sustainability of memory price rises as supply increases.