Phison Acquires Nextorage to Strengthen Customized High-End Storage Market

In response to the rising market demand for next-generation, customized high-end storage, Phison Electronics Corp. (Phison; 8299TT), a leader in NAND controllers and NAND storage solutions, acquired shares of its joint-venture company Nextorage Corporation (hereinafter referred to as “Nextorage”) from its joint-venture partner, Sony Storage Media Solutions Corporation (hereinafter referred to as “SSMS”; SSMS is a wholly-owned subsidiary of Sony Group Corporation). The acquisition continues Phison’s expansion into the customized high-end storage market, including high-resolution image processing systems, automotive electronics, e-sports and gaming systems, factory automation, electronic medical equipment, and industrial robots, etc. Through the resources of local R&D engineers in Japan, it serves nearby Japanese customers and continuously improves service quality

Japan is a major industrial country. In addition to industrial robots that are widely used globally, automotive electronics, e-sports and game systems, high-resolution imaging systems, electronic medical equipment, and factory automation equipment all occupy important positions in the world. In addition to high-speed data access, storage products required by this type of high-end application market often require a certain degree of customization and system-optimization adjustments for terminal applications. In other words, the standard storage products on the market cannot be perfectly matched and integrated with the system side, and therefore there is a demand gap for customization. The acquisition of the joint-venture company Nextorage, from joint-venture partner SSMS, which is strong in the customized high-end storage market, is expected to help Phison strengthen its high-end customized storage products to meet the needs of the Japanese and global markets.

Prior to this agreement, Phison has cooperated with Nextorage to win many design-in projects from Japanese customers. The main purpose of Phison’s acquisition of the joint-venture company Nextorage from joint-venture partner SSMS is to increase Phison’s local R&D resources in Japan and support Japanese customers. Going forward, Nextorage will maintain operational independence, and will assist in Phison’s future expansion and support of customized high-end storage needs in other regions around the world if needed. In addition, Phison will also actively introduce strategic partners to invest in Nextorage in the future based on the development needs of the Phison Group to jointly expand the customized, high-end market and continue to build an ecological chain throughout the market.

For further information, please email us at pr@phison.com

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Phison’s Quick Facts

• Over 20 years experiences in NAND controller IC design and module integration.

• Over 3,000 employees globally, and more than 70% are engineers.

• Nearly 2,000 memory-related patents globally.

• Target long-term revenue of NT$100 billion through the 5+5 growth strategy

• Exceeds 20% of the global market share of SSD controllers

• $1.64B sales revenue in 2020.

• Unique business model that can produce consistently strong cashflow and profits over long-term NAND memory market cycles.

• Committed to maintaining long-term partnerships  with our global NAND flash supply sources and with our downstream module customers

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Phison Spokesperson
Antonio Yu
TEL: +886-37-586-896 #1019
Mobile: +886-979-105-026
Email: antonioyu@phison.com

Phison Deputy Spokesperson
Kuo-Ting Lu
TEL: +886-37-586-896 #2622
Mobile: +886-979-075-330
Email: kuoting_lu@phison.com