WD Enters Solid-State Drive Market with Acquisition of Siliconsystems, Inc.
Sydney, Australia - April 2, 2009 - Western Digital Corp., a world leader in hard drive storage for computing and consumer electronics applications, today announced that it has completed a US$65 million cash acquisition of SiliconSystems, Inc., Aliso Viejo, Calif., a leading supplier of solid-state drives for the embedded systems market.
Since its inception in 2002, SiliconSystems has sold millions of SiliconDrive® products to meet the high performance, high reliability and multi-year product lifecycle demands of the network-communications, industrial, embedded-computing, medical, military and aerospace markets. These markets accounted for approximately one third of worldwide solid-state drive revenues in 2008. SiliconSystems' product portfolio includes solid-state drives with SATA, EIDE, PC Card, USB and CF interfaces in 2.5-inch, 1.8-inch, CF and other form factors. SiliconSystems has developed extensive intellectual property to address the stringent embedded systems market requirements to ensure data integrity, eliminate unscheduled downtime, protect application data and software and provide for data security and protection through its patented and patent-pending PowerArmor®, SiSMART®, SolidStor® and SiSecure technologies.
WD's storage industry leadership, worldwide infrastructure, and technical and financial resources will enable further growth in SiliconSystems' existing markets and customer relationships. SiliconSystems' intellectual property and technical expertise will provide additional building blocks for future products to address emerging opportunities in WD's existing markets.
"We are delighted to have the SiliconSystems team join WD," said John Coyne, president and CEO of WD. "The combination will be modestly accretive to revenue and margins as a result of SiliconSystems' existing position as a trusted supplier to the well-established US$400 million market for embedded solid-state drives. SiliconSystems' intellectual property and technical expertise will significantly accelerate WD's solid-state drive development programs for the netbook, client and enterprise markets, providing greater choice for our customers to satisfy all their storage requirements."
Integration into WD begins immediately, with SiliconSystems now becoming known as the WD Solid-State Storage business unit, complementing WD's existing Branded Products, Client Storage, Consumer Storage and Enterprise Storage business units.
"WD's strong balance sheet, sales reach, and operations and logistics capabilities will allow us to greatly accelerate our penetration of our existing markets, while combining our engineering expertise with WD will enable us to develop new solid-state drives to broaden our overall product portfolio and address the emerging applications for solid-state storage in WD's existing customer base," said Michael Hajeck, a founder and CEO of SiliconSystems, now senior vice president and general manager of WD's Solid-State Storage business unit. "We are extremely excited to be joining WD and enabling an even stronger future for our talented team."
WD, one of the storage industry's pioneers and long-time leaders, provides products and services for people and organizations that collect, manage and use digital information. The company produces reliable, high-performance drives that keep users' data accessible and secure from loss. WD applies its storage expertise to consumer products for external, portable and shared storage applications.
WD was founded in 1970. The company's storage products are marketed to leading systems manufacturers, selected resellers and retailers under the Western Digital and WD brand names. Visit the Investor section of the company's Web site (www.westerndigital.com) to access a variety of financial and investor information.
Latest News Posts
- Twitter stock falls to all-time low
- The Rock's alarm clock app inspires you to get up in the morning
- Fully prep for the ITIL Foundation Exam for just $39
- Expert says self-driving cars means more car sex
- NVIDIA's next-gen GeForce teased with 'Order of 10' mystery
- LaCie P9227 Porsche Design Mobile Drive 4TB USB C Review
- Asus F2A85-M won't go into BIOS
- I bought a new open box assus laptop but the sound does not work, help.
- JBL Xtreme Portable Bluetooth Speaker Review
- PC reboots immediately after being put to sleep
- ASRock and Intel teams up to create one of the smallest mini PCs: DeskMini
- Sapphire launches Radeon Pro Duo for ultimate VR & 4K experience
- Seagate now shipping 10TB helium enterprise drive in volume
- ENERMAX announces the new DFR technology with D.F.PRESSURE
- World's first 24/7 esports TV channel launched