The stable state storage trade has been in a well-documented slide for the higher a part of the final 12 months now. With storage product demand from each the shopper and datacenter companies down effectively off of its highs in a notoriously cyclical enterprise, we have already seen the large three reminiscence producers – SK hynix, Samsung, and Micron – considerably in the reduction of on NAND manufacturing. And now the repercussions of this downturn are beginning to unfold to the SSD makers themselves, with Solidigm confirming that they’ve laid off workers because of the trade downturn.
Responding to an info request from AnandTechSolidigm, Intel’s former SSD enterprise unit that’s now managed by SK hynix, confirmed that the corporate has just lately engaged in layoffs. Terming it a ‘modest’ discount in headcount, the corporate disclosed that it ‘executed a modest workforce discount’ on Wednesday, however declined to offer additional particulars.
“As a result of extended downturn within the semiconductor trade and its affect on market situations, Solidigm has executed a workforce discount,” an announcement by Solidigm reads. “The corporate is providing assist and severance to colleagues who’re departing. We’re immensely grateful to our workforce members who’ve made significant contributions whereas at Solidigm. They are going to be vastly missed.”
Solidigm just isn’t disclosing their new headcount, although as of September, 2022, the corporate had greater than 2,000 workers in 20 places world wide. Earlier this 12 months the corporate closed down its department in South Korea and employed companies to deal with its gross sales within the nation. It appears to be like like the present announcement additionally pertains to varied enterprise, administration, advertising, and gross sales roles.
Solidigm inherited its personnel from Intel’s NAND enterprise unit, which the corporate agreed to promote to SK hynix in October, 2020. Solidigm closed the primary stage of the deal in late 2021 and gained management over Intel’s NAND and SSD companies and NAND reminiscence fab in Dalian, China. Beneath the phrases of the settlement with SK hynix, Intel transferred a few of its NAND enterprise unit workers to Solidigm to function as a SSD enterprise.
At this level there has not been a public announcement of the layoffs by Solidigm/SK hynix, so it stays unclear what the complete affect to the enterprise will likely be. SK hynix has simply launched its Q3’2023 earnings report, the place the corporate reported internet losses of two.185 trillion gained (~1.6B USD), and will likely be holding its quarterly convention name this night (the morning of the twenty sixth in Korea), at which level we might discover out extra in regards to the firm’s plans for his or her struggling subsidiary. Earlier studies to AnandTech had indicated extra vital layoffs had taken place, although ‘modest’ leaves some room for interpretation.
