Seagate Plans to Acquire SanDisk – Rumours

Industry Rumours: Seagate Intends to Take Over SanDisk

by Anton Shilov
08/14/2008 | 01:06 PM

Seagate Technologies, the world’s top maker of hard disk drives (HDDs) and a company that is especially skeptical about solid-state drives (SSDs), may be looking forward to take over flash-based devices maker SanDisk, according to market rumours.

 

The unofficial information, based on which Seagate is interested in buying all or part of SanDisk Corp., was spread at the Flash Memory Summit in Santa Clara, California, reports EETimes web-site. SanDisk is a platinum sponsor of the summit, whereas Seagate Technology does not participate.

Earlier this year rumours transpired that Seagate was interested in acquiring a stake in IM Flash company, a joint venture between Intel Corp. and Micron; in addition, Seagate is rumoured to be interested in flash memory manufacturing capacities of Hynix Semiconductor, which recently announced shut down of its facility in Eugene, Oregon.

Seagate earlier this year said that it would enter the business of flash memory-based SSDs in 2009. The company indicated that it plans to position its solid state drives for enterprise customers on the first place, but not consumers. Nevertheless, in the long term future SSDs may become more popular among consumers as well, which may mean a threat for Seagate’s hard drive business.

Even though in the long term Seagate might be interested in securing its own manufacturing capacities on the flash market, making huge investments into risky flash business before even entering the market of SSDs may not be a way that the hard drive maker chooses.

Seagate said it did not comment on rumours.