3 Reasons You Should Love This Deal
By Brian Nichols - June 25, 2013
"I’d watch for Seagate to make a big acquisition of its own, possibly OCZ Technology? Overall, I think Western Digital just forced the combination of two storage industries, which should bode well for both them and SSD companies that are waiting to be acquired."
Sentiment: Strong Buy
In January 2013 - Seagate made a strategic equity investment in Virident as part of a new collaboration agreement which includes remarketing Virident's PCIe SSDs and working together to design new SSDs for the enterprise market.
Virident's founder include Silicon Valley veterans from Google, Sun Microsystems, Cisco, SGI, and Intel.
They developed their own big architecture controller (e.g. can keep 256 flash memory chips active at the same time) and has been designed to operate comfortably with software that's already out there and doesn't need to be tweaked or rewritten to work optimally with their product.
BTW, unlike Virident, OCZ's PCIe SSDs use SandForce controllers.
you are a fool.
"Western Digital is the first to strike, beating competitor Seagate (NASDAQ: STX ) to the punch for a stronghold in solid-state drives"
"The move does leave some pressure on Seagate. The company has been public about its quest for an SSD maker, and last July rumors flew that the company would buy OCZ Technology. The deal fell through, but investors can be sure Seagate is likely looking harder now than ever to get its piece of the pie. The company can surely find what it's looking for, but the price tags will soon be rising. "
"The big takeaway here is that SSD manufacturers are going to continue their status as objects of desire. Investors in OCZ, Fusion-io, and other players may soon see their stocks rise on rumors of acquisitions"