Tsinghua Unigroup has signed a strategic alliance with memory module firm Shenzhen Longsys Electronics in a move to accelerate its ambition in the NAND flash sector.

The agreement was struck in Beijing, China recently, according to sources familiar with the matter. The pair will partner to promote flash storage solutions utilizing NAND flash chips manufactured by Yangtze Memory Technologies (YMTC) according to the deal.

Longsys specializes in the manufacture of flash-based storage devices including SSDs on an OEM or ODM basis. Longsys also sells its Foresee-branded embedded storage devices, and has run the Lexar retail brand previously owned by Micron Technology since 2017.

Partnering with Longsys will make Tsinghua Unigroup's NAND flash ambition a leap forward, the sources believe. Tsinghua Unigroup has been aggressively developing its memory-chip business and in the NAND flash sector, its subsidiary YMTC is set to enter volume production of chips built using its in-house developed 3D NAND flash process later in 2018.

Tsinghua Unigroup will source chips also from Intel according to an agreement reached between the two earlier in 2018, the sources noted. Before YMTC is capable of commercially producing 3D NAND flash chips and scaling up its output with mature yields, Tsinghua Unigroup will be sourcing a certain amount of chips from Intel in its flash storage devices, the sources said.

YMTC is expected to build a close relationship with Longsys after growing its production yield rates to mature and stable levels, the sources continued. YMTC's in-house developed 64-layer 3D NAND flash will be adopted in Longsys' SSD and UFS products.