Fujitsu Limited and Toshiba Corporation have announced today that Fujitsu will be transferring its hard drive (Hard Disk Drive – HDD) business over to Toshiba, through the creation of a new company. Fujitsu will move its HDD-related assets and business into this new company, in which Toshiba will have around 80% ownership (Fujitsu will have less than 20%). It will then fall under the Toshiba Group as a subsidiary of Toshiba. At some point in the future, Toshiba will acquire the remaining 20% and become the sole owner.
The goals are to boost Toshiba’s market share in 2.5″ and 1.8″ HDDs (in the laptop/notebook/netbook market), as well as their enterprise-level storage systems. They also mention that it will help boost Toshiba’s Solid State Drive (SSD) business.
They are working to complete this by the end of the first quarter of fiscal 2009.
Read: Japan’s Corporate News