March 7, 2011 12:35 pm EDT

Western Digital drops $4.3 billion to acquire Hitachi GST, enter staring contest with Seagate

Yow. Western Digital -- the company responsible for shipping the planet's first 1TB 2.5-inch hard drive way back in 2009 -- just announced a monstrous deal to acquire one of its primary competitors, Hitachi Global Storage Technologies. Both outfits have actually shown quite a few interesting HDD designs in recent months, and it's pretty clear that WD would rather not go at it alone any longer. Granted, these types of deals aren't entirely unheard of -- in fact, Seagate swallowed up Maxtor back in 2005 for a cool $2 billion. Under the deal, which is a mix of $3.5 billion in cash and $750 million in WD common stock, the two will combine in a way that sees the Western Digital brand and headquarters surviving, while Steve Milligan, president and chief executive officer of Hitachi GST, will join WD at closing as president. Hard to say what this will mean for consumer pricing and competition, but we're pretty certain the powers that be will be looking it all over for fairness before they hop in the blender during Q3. Full release is after the break.

Continue reading Western Digital drops $4.3 billion to acquire Hitachi GST, enter staring contest with Seagate

Western Digital drops $4.3 billion to acquire Hitachi GST, enter staring contest with Seagate originally appeared on Engadget on Mon, 07 Mar 2011 07:35:00 EDT. Please see our terms for use of feeds.

Permalink | ||Comments

Original Link: http://www.engadget.com/2011/03/07/western-digital-drops-4-3-billion-to-acquire-hitachi-gst-enter/

View Full Article

Engadget

Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics. Engadget was launched in March of 2004 in partnership with the Weblogs, Inc. Network (WI

More About this Source Visit Engadget