Company News

Western Digital Is Dropping $19B To Acquire SanDisk

Acquiring flash memory company SanDisk could carry Western Digital into the future as hard disk drive demand drops off.

Western Digital Is Dropping $19B To Acquire SanDisk
KUERT Datenrettung / CC BY 2.0

Western Digital might have just secured its future by striking a deal with SanDisk to buy the flash-memory maker in a $19 billion cash and stock deal. (Video via SanDisk)

Western Digital has had a rough time in recent years because its main products — hard disk drives — have seen manufacturer demand drop off. (Video via Western Digital)

The lack of interest in hard drives is partly due to a saturated computer market that has seen falling sales for a while now. And the devices that are selling tend to not need — or want — what Western Digital is selling.

Hard drives: We've used them for years, but they process data more slowly than flash memory; they break more easily than flash memory; and they tend to take up more space than flash memory. (Video via Western Digital)

That's why flash memory is used in tablets, smartphones, and even in a lot of popular computer models. (Video via SanDisk)

The Wall Street Journal writes that SanDisk might've been looking to be bought, too. And if that was the case, industry watchers agree — as a buyer, Western Digital makes sense. (Video via Western Digital)