Western Digital (NASDAQ:WDC)
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3 Months : From Jan 2020 to Apr 2020
Western Digital Corp. (NASDAQ: WDC) today announced that its subsidiary Western Digital Technologies, Inc. has entered into a definitive agreement to sell its ActiveScale™ business to Quantum Corp. (NASDAQ: QMCO), an industry leader in storing and managing video content and unstructured data. Under the agreement, Quantum will acquire Western Digital’s full line of ActiveScale products.
The announcement follows Western Digital’s announced strategic intent to exit Storage Systems and optimize its Data Center Systems business around Storage Platforms. Western Digital completed the sale of its IntelliFlash™ product lines to DDN last year.
“With their complementary portfolio of software defined solutions and technologies, and established customer base, Quantum is well positioned to build on the ActiveScale systems business,“ said Phil Bullinger, senior vice president & general manager of the Data Center business. “Both Western Digital and Quantum are committed to executing a smooth transition for all stakeholders and ensuring that customers will continue to receive best-in-class service and support.”
The transaction is expected to close by the end of this quarter, March 31, 2020, subject to the satisfaction of customary closing conditions. Financial terms of the transaction were not disclosed.
About Western Digital
Western Digital, a leader in data infrastructure, creates environments for data to thrive. The company is driving the innovation needed to help customers capture, preserve, access and transform an ever-increasing diversity of data. Everywhere data lives, from advanced data centers to mobile sensors to personal devices, our industry-leading solutions deliver the possibilities of data. Our data-centric solutions are marketed under the G-Technology™, SanDisk®, WD®, and the Western Digital® brands.
Western Digital, the Western Digital logo, G-Technology, SanDisk, WD, and ActiveScale are registered trademarks or trademarks of Western Digital Corporation or its affiliates in the US and/or other countries. All other marks are the property of their respective owners.
This news release contains forward-looking statements that involve risks and uncertainties, including, but not limited to, statements regarding the expected closing and impact of the sale of the ActiveScale business to Quantum, business strategies and growth opportunities, and product and technology portfolio. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved, if at all. Forward-looking statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements.
Key risks and uncertainties include the possibility that conditions to closing the transaction may not be satisfied, such that the transaction will not close or that the closing may be delayed; volatility in global economic conditions; business conditions and growth in the storage ecosystem; impact of competitive products and pricing; actions by competitors; unexpected advances in competing technologies; our development and introduction of products based on new technologies and expansion into new data storage markets; difficulties or delays in manufacturing; and other risks and uncertainties listed in the company's filings with the Securities and Exchange Commission (the "SEC") and available on the SEC's website at www.sec.gov, including our most recently filed periodic report, to which your attention is directed. We do not undertake any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law.
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