Decision to Withdraw from CIS Division Due to Declining Business Viability
Company-wide Capabilities to Be Focused on AI Memory Sector
SK Hynix has decided to withdraw from its non-core CMOS (Complementary Metal-Oxide-Semiconductor) image sensor (CIS) business and focus its capabilities on the artificial intelligence (AI) memory sector. This decision was made based on the judgment that the business viability is declining due to decreased demand in the CIS market and the entry of Chinese companies.
On the 6th, at a communication event with members of the CIS business division, SK Hynix announced that it will convert the capabilities of this division to the AI memory field in order to solidify its position as a global AI-centered company.
An SK Hynix official stated, "Since the launch of the CIS business division in 2007, we have overcome various difficulties and achieved certain results in the mobile market," adding, "Through this, we have gained logic semiconductor technology and custom business capabilities that cannot be experienced through memory alone."
SK Hynix has recently achieved significant results in the AI memory sector, including high bandwidth memory (HBM), due to the development of the AI industry. Accordingly, the company views this as a major turning point to become a core company in the AI ecosystem and plans to concentrate its entire corporate capabilities on the AI memory field.
With this decision, SK Hynix expects to further enhance the company's AI memory competitiveness and contribute to solidifying its status as a 'Full Stack AI Memory Provider.' The company also aims to maximize shareholder value.
Existing CIS division members will move to a new organization, and SK Hynix explained that it will spare no support with a 'one team mindset' to ensure that individual professional capabilities can be fully utilized during this process.
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