Taipei, Friday, August 1, 2014 16:25 (GMT+8)
mostly cloudy
Taipei
36°C
Digitimes Insight: WD buys HGST to increase HDD market share
Hana Hu, DIGITIMES Research, Taipei [Friday 11 March 2011]

Japan-based Hitachi on March 7 announced that it has sold subsidiary Hitachi Global Storage Technologies (HGST), a top three hard disk drive (HDD) maker globally, to Western Digital (WD) for US$4.3 billion, which includes 25 million WD shares worth about US$750 million.

Since Toshiba acquired Fujitsu's HDD operation in April 2009, the industry has consolidated into five main players - WD, Seagate, HGST, Toshiba and Samsung Electronics. The top two companies, WD and Seagate, were separated by less than one percentage point in market share. With the latest HGST acquisition, WD is looking to widen its lead over the rest of the field.

Hitachi's quick decision and sudden change of heart stunned the market. In November 2010 when the company released results for the fiscal second quarter, it pointed out that HGST had improved financially and was scheduled to be listed on NASDAQ. In just a few months, Hitachi has changed plans, which could be an indication that the HDD industry is indeed seeing stronger-than-expected threats from SSD and cloud computing technologies.

MSI Global N750Ti TF 2GD5/OC
Media news email alerts
Greater China touch panel shipment forecast through 2015
  • 2014 global high brightness LED market, trends and shipment forecast

    For the global LED lighting market, the market size will reach US$25.82 billion in 2014 or a market penetration rate of 23.4%. This is attributable to exponential shipment growth for light bulbs, tubes, and directional lamps.

  • Greater China touch panel shipment forecast through 2015

    This Special Report provides forecasts through 2015 for Greater China touch panel shipments with breakdowns based on technology (glass, film, resistive), application (smartphone, NB and tablet) and by firm.

  • 2014 global tablet demand forecast

    This report analyzes the main players, their strategies and shipments forecasts for 2014, as well as other factors contributing to either growth or decline in various segments within the tablet market, with a particular focus on Apple, Google, Samsung, and Microsoft, along with whitebox vendors.