1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

News Western Digital forced to sell Hitachi assets

Discussion in 'Article Discussion' started by brumgrunt, 6 Mar 2012.

  1. brumgrunt

    brumgrunt New Member

    Joined:
    16 Dec 2011
    Posts:
    1,009
    Likes Received:
    27
  2. Jack_Pepsi

    Jack_Pepsi Clan BeeR Founder

    Joined:
    24 Apr 2006
    Posts:
    646
    Likes Received:
    11
    Hmmm... interesting.
     
  3. B1GBUD

    B1GBUD ¯\_(ツ)_/¯ Accidentally Funny

    Joined:
    29 May 2008
    Posts:
    3,306
    Likes Received:
    409
    Does this mean they'll be switching to a Japanese Plant to make drives or will they still keep the existing operations going in Thailand? How will this affect current HDD prices?
     
  4. LordLuciendar

    LordLuciendar meh.

    Joined:
    16 Sep 2007
    Posts:
    334
    Likes Received:
    5
    This is ridiculous... I'm a big fan of Hitachi GST, which has gone through some rough waters these past few years... finally Hitachi was being rescued by Western Digital and the FTC comes along and ruins it all. With Hitachi being split, WD is going to have to assimilate it's technologies into it's name and the Hitachi name will be gone forever. Gone will be a drive company that continued to innovate, and yet usually had some of the lowest prices on the market.
     
  5. NethLyn

    NethLyn Member

    Joined:
    24 Apr 2009
    Posts:
    971
    Likes Received:
    17
    Agreed it's ridiculous, as I'm a big fan of WD by themselves but it seems if you don't have Microsoft and Intel money then you're fair game for Government interference. They couldn't even leave the ruling to late summer when the supply chain *might* have been getting back to pre Thai flood levels, having Toshiba get a division that it hadn't bothered with recently is hardly going to spell bargain prices.

    [EDIT] and it also creates another Samsung to Seagate scenario where anyone with an existing Hitachi drive from any source including inside Panasonic TV Recorders, will now have to start running around checking on who's going to provide their warranty from the first day of this deal. Regulators never stop to consider longer-term consequences like that.
     
  6. Gareth Halfacree

    Gareth Halfacree WIIGII! Staff Administrator Super Moderator Moderator

    Joined:
    4 Dec 2007
    Posts:
    12,187
    Likes Received:
    1,683
    The Hitachi name left the building months ago: when Hitachi proper decided it wanted out of the hard drive game, it renamed Hitachi GST to Viviti Technologies. 'Course, we kind of ignore that because everyone knows who Hitachi GST is, but nobody's heard of Viviti.
     
  7. azazel1024

    azazel1024 New Member

    Joined:
    3 Jun 2010
    Posts:
    487
    Likes Received:
    10
    But they do stop to consider long term consequences of what it means to have only two hard drive manufacturers in the market, which more likely than not WOULD be bad in the long term.
     
  8. wsmccusker

    wsmccusker New Member

    Joined:
    4 Sep 2011
    Posts:
    64
    Likes Received:
    0
    From what I gleaned from the article, they are allowing WD to buy Hitachi on the condition that they sell most of it to toshiba. Is it just me or is that almost completely pointless. Also having to provide access to R&D does that mean WD's own R&D too or just the R&D already carried out by Hitachi?
     
  9. Harlequin

    Harlequin Well-Known Member

    Joined:
    4 Jun 2004
    Posts:
    7,071
    Likes Received:
    179
    WD will walk away fro hitachi and let teh company die - and why the heck is a USA company ruling on a japanese take over anyway??
     
  10. NethLyn

    NethLyn Member

    Joined:
    24 Apr 2009
    Posts:
    971
    Likes Received:
    17
    Didn't even occur to me that they could just walk away from whatever they spent on the deal and save nearly five billion bucks instead, but it'll probably go to a shareholder vote.
     
  11. faugusztin

    faugusztin I *am* the guy with two left hands

    Joined:
    11 Aug 2008
    Posts:
    6,853
    Likes Received:
    247
    How is this different from EU requirements for this trade ? AFAIK will sell the 3.5" part of Hitachi to Toshiba and keeps the 2.5" part for himself. This will create a 3rd 3.5" drive manufacturer.

    Even this way, it is still worth to do it for WDC because of the 2.5" tech & patents.
     
  12. SpAceman

    SpAceman New Member

    Joined:
    1 Nov 2010
    Posts:
    267
    Likes Received:
    4
    Brilliant decision if you think about it. WD already has heaps of experience in desktop HDDs. Buying Hitachi will increase their knowledge and market share while reducing competition. Competition is good for developing technology. Toshiba obviously don't have the resources or knowledge to start producing 3.5" HDDs competitively but if they were able to obtain pre-existing research and other resources they could actually bring something worth looking at to the market. WD still get all the benefits from the purchase except for reduced competition.
     
Tags: Add Tags

Share This Page