Seagate buys Samsung division
Seagate Technology is to buy Samsung Electronics's loss-making hard-disk-drive (HDD) business for $1.4bn (£858m) as the US group looks to combat rival Western Digital Corp and arrest price wars that have damaged the industry.
The deal comes a month after Western Digital sought to buy the HDD unit of Hitachi Ltd – a known price aggressor – for $4.3bn, to create a global leader with deep resources.
It is yet to be seen whether Western Digital trumps Seagate as the world's largest hard-drive maker after the deals conclude. In 2010, Seagate's sales were $11.4bn while Western Digital posted revenues of $9.85 bn. Toshiba and Fujitsu are the other smaller players in the hard-drive sector.
Subscribe to Independent Premium to bookmark this article
Want to bookmark your favourite articles and stories to read or reference later? Start your Independent Premium subscription today.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies