The sale includes Intel’s solid-state drive, NAND flash and wafer businesses, and a production facility in Dalian, China.
The deal will make SK Hynix one of the world's largest NAND memory makers.
Intel had been weighing getting out of the business for some time, driven by sagging prices for flash memory, according to The Wall Street Journal, which first reported the possible sale on Monday.
"This transaction will allow us to further prioritize our investments in differentiated technology where we can play a bigger role in the success of our customers and deliver attractive returns to our stockholders," said Intel CEO Bob Swan in a statement.
The company said it “intends to invest transaction proceeds to deliver leadership products and advance its long-term growth priorities, including artificial intelligence, 5G networking, and the intelligent, autonomous edge.”
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