Published in News
Others now looking at buying SanDisk
by David Stellmack on22 September 2008
Intel and Seagate could head the list
As we reported, SanDisk turned down an offer from Samsung and wanted more money. Now it seems that Samsung is no longer the only one that is interested in getting their hands on SanDisk.
Our latest from our contacts seems to indicate that both Intel and Seagate are giving SanDisk the once over; and now have an interest in perhaps joining what might become a bidding war to acquire the flash memory power house.
While some of our sources feel that the Samsung offer was an overture made to try to capitalize on a lower than real value stock price due to a drop in the U.S. market, others are suggesting that SanDisk may, in fact, be overestimating the true value of the company.
We are hearing that both Intel and Seagate may have at least some interest in a possible purchase of SanDisk. While it seems that both companies have gone quiet over the possibility of laying their hands on SanDisk, these rumors continue to gain steam.
Seagate has said publicly that they are not interested in SanDisk, but many analysts seem to feel that Seagate’s purchase of SanDisk would make a lot of sense and strengthen the company’s portfolio of product offerings with the retail level brand awareness that SanDisk enjoys. Seagate has stated that they want to become a player in the NAND market space, but they lack much of the fab access and patents that SanDisk enjoys.
As for Intel, little is really known about their level of interest, but Intel has been moving toward more flash products and using the SanDisk brand name, and shelf space could make Intel a major player at the retail level very quickly. It would also open some new avenues for Intel to expand the use of their technology in both the flash storage and MP3 play arenas where the company has been less than successful previously in other attempts to gain a stronger retail foothold.