Winbond Invests US$1.12 Billion to Acquire Infineon's Two Major Memory Businesses: Why NOR Flash and F-RAM? 6 Key Questions Explained
On September 16, Winbond announced that it will acquire 100% of Infineon's NOR Flash and F-RAM businesses for US$1.12 billion in an all-cash transaction. The deal is expected to close in the second half of 2027, subject to regulatory approvals. The final transaction value will also be adjusted based on the financial condition at closing.
Following completion of the transaction, the acquired businesses will operate independently under the name “Spansion”, with headquarters in San Jose, California, USA. Winbond plans to recruit professionals from more than 10 countries and said the transaction will expand its global R&D resources, strengthen its global supply capabilities, and enhance customer service.
NOR Flash is already one of Winbond's core businesses. In 2025, Flash products accounted for 35% of the company's annual revenue. Winbond also describes itself as the world's largest NOR Flash supplier, with automotive and industrial applications accounting for 27% of memory product revenue. So why would an established major NOR Flash supplier spend US$1.12 billion to acquire Infineon's NOR Flash and F-RAM businesses? Below, we break down the deal through six key questions.
Q1: What Is Winbond Acquiring for US$1.12 Billion, and How Will It Operate After the Deal?
Winbond is acquiring 100% of Infineon's NOR Flash and F-RAM businesses. According to Infineon, these businesses serve the automotive, industrial, and infrastructure markets. Winbond noted that the acquired company is headquartered in San Jose, California, and has more than 30 years of experience in memory solutions.
After the transaction is completed, the acquired company will maintain its existing operating model and continue to operate independently with its headquarters in the United States. Winbond plans to recruit professional talent from more than 10 countries and further expand its network of supply chain partners.
Winbond spokesperson and Executive Vice President Hsiang-Yun Fan said, “This transaction is expected to expand Winbond's global R&D resources, strengthen its global supply capabilities, and enhance customer service.” Winbond's stated objectives for the acquisition currently focus primarily on global R&D, supply capabilities, talent, and customer service.
Q2: Why Is Winbond Acquiring Another NOR Flash Business Despite Already Being a Major NOR Flash Supplier?
NOR Flash is already one of Winbond's key product lines. In 2025, Flash products accounted for 35% of Winbond's total annual revenue. The company also describes itself as the world's largest NOR Flash supplier. In the same year, automotive and industrial applications accounted for 27% of its memory product revenue.
Winbond stated that the transaction will expand its global R&D resources, strengthen its global supply capabilities and customer service, and is also expected to bring in professional talent from more than 10 countries. Infineon noted that the combination of the two businesses will provide a broader portfolio of NOR Flash and F-RAM products.
The two companies have not yet disclosed specific details on how their products, technologies, or customer bases will complement each other, nor have they announced the combined market share of NOR Flash following completion of the transaction. Therefore, what can be confirmed at this stage is that Winbond aims to expand its global R&D, supply, and customer service capabilities through the transaction, while also broadening its NOR Flash and F-RAM product portfolio.
Q3: Why Is Infineon Willing to Sell? Is It Exiting the Memory Market?
Infineon stated that the sale of its NOR Flash and F-RAM businesses is intended to further streamline its product portfolio and capital allocation. Peter Schiefer, President of Infineon's Automotive division, said, “This transaction will enable Infineon to further focus its product portfolio and capital allocation on its core growth drivers, while also allowing the NOR Flash and F-RAM businesses to fully realize their potential.”
Following completion of the transaction, Infineon will retain products including SRAM, HYPERRAM, nvSRAM, and radiation-hardened memory based on SONOS technology, serving applications across automotive, industrial, infrastructure, aerospace, and defense markets. The sale is limited to its NOR Flash and F-RAM businesses, while Infineon will continue to operate its other specialty memory product lines.
Q4: What Is F-RAM, and What Products Will Winbond Gain from the Acquisition?
F-RAM, short for Ferroelectric RAM, is a type of non-volatile memory that can retain data even when power is removed. It offers fast write speeds and high write endurance, making it well suited for automotive and industrial control applications that require frequent data recording.
Winbond currently focuses its Flash business primarily on products such as NOR Flash. Following completion of the transaction, it will add Infineon's existing F-RAM business to its portfolio, which will operate independently under the name Spansion. Infineon has not disclosed the revenue or shipment contribution of F-RAM within the acquired business, so it is not yet possible to determine how much this business will contribute to Winbond's future revenue.
Q5: Why Is the New Company Called 'Spansion'? Where Does the Name Come From?
Spansion can be traced back to the Flash memory businesses of AMD and Fujitsu. In 2003, the two companies combined their Flash memory operations to form FASL LLC and launched the 'Spansion' brand. FASL LLC was officially renamed Spansion LLC in 2004. In 2015, Spansion merged with Cypress Semiconductor, bringing Spansion's Flash business under Cypress.
In 2020, Infineon completed its acquisition of Cypress, bringing Cypress' memory businesses, including NOR Flash and F-RAM, under Infineon. Following completion of this transaction, Infineon's NOR Flash and F-RAM businesses will become part of Winbond, which has decided to revive the 'Spansion' name and trademark for the acquired company.
Winbond Chairman and CEO Y. J. Jiao said, "We are very pleased to revive the 'Spansion' name and trademark for the acquired company." He noted that Spansion was once a pioneer in the memory industry, achieving numerous innovations and technological breakthroughs. Winbond also hopes to continue the business under the Spansion name.
Q6: How Significant Is the NT$35.4 Billion Deal for Winbond, and Where Will the Funding Come From?
According to Winbond's material information announcement, the US$1.12 billion transaction value, calculated at an exchange rate of 31.6, is approximately NT$35.392 billion. This is equivalent to 44.5% of the company's most recent total assets and 69.7% of equity attributable to owners of the parent. The transaction will be conducted entirely in cash, with funding to come from the company's own funds or financing activities.
Winbond's full-year revenue in 2025 was NT$89.406 billion, making the NT$35.392 billion transaction value equivalent to approximately 40% of its full-year revenue in 2025. The transaction is expected to be completed in the second half of 2027, with the final purchase price to be determined based on the financial condition at closing and the adjustment mechanisms specified in the share purchase agreement.
Source of Information: Business Next
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