Flash memory chip maker Sandisk (SNDK 3.44%) hardly seemed like a flash in the pan in the last few days, at least as far as its equity went. On the back of a positive news item concerning production, plus good sentiment for all sorts of chip manufacturers generally, its stock was popular.
According to data compiled by S&P Global Market Intelligence, Sandisk shares were up almost 28% week to date as of early Friday morning.
A fab development
On Monday, Sandisk and peer memory chip company Kioxia announced the launch of operations at a new semiconductor fabrication plant called Fab2. The facility is located in Kioxia's home nation of Japan.
Image source: Getty Images.
The companies will produce state-of-the-art 3D flash memory using technology developed together as part of an effort to satisfy rising demand for flash memory used in systems that power artificial intelligence (AI) functionalities.
"As AI advances, it is poised to transform industries, redefine careers, and reshape daily life in ways we're just beginning to imagine," said Maitreyee Mahajani, senior vice president of flash front end operations at Sandisk.
"Flash memory is at the very center of this transformation, unlocking the speed, efficiency and scalability needed for this next wave of innovations," she said.
A sideways AI play
Although there has been some pullback at times from stocks most directly associated with AI, there's life in some that aren't so readily identified with the technology. Sandisk is a veteran flash memory producer, and a compelling choice as a pick-and-shovel play in the flash segment of the AI space.
