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Western Digital Corp. and Tegile Systems announced that they have entered into a definitive agreement under which Tegile, a leading provider of flash and persistent-memory storage solutions for enterprise data center applications, will be acquired by Western Digital.

Financial terms of the transaction were not disclosed.  The acquisition is expected to close the week of Sept. 4, 2017, upon satisfaction of certain closing conditions as set forth in the definitive agreement between the parties.

Tegile is a storage company with interesting products declared to be “one flash (hybrid or all flash) for any workload”. For sure they are a strong company, with more than 1800 systems deployed with Tegileproducts, including interesting names including Ferrari, McLaren, Tesla, … More than 1100 customers, doesn’t sound bad, at all!

Was notable that one of the investors of Tegile was HGST (the enterprise division of WDC!), and this probably explain the acquisition.

WDC (or better HGST) is trying to became a huge storage vendor, with all the solution end-to-end, from the disks and the flashes to the final products?

Considering that more than two years ago, WD has acquired SanDisk, and that previously SanDisk has acquired Fusion-IO, there is a lot of technologies and products in this company!

Tegile will bring to Western Digital over 1,700 new customers, an innovative product portfolio, and a deeply experienced team with a proven ability to deliver value to customers.

“The Tegile acquisition will fit perfectly in Western Digital’s long-term strategy to deliver high value solutions that address customers’ rapidly evolving storage needs,” said Mike Cordano, president and chief operating officer of Western Digital. “The addition of Tegile’s technology and talented team will advance our goal of solving customers’ most significant challenges in capturing, preserving, transforming and accessing data. We welcome the Tegile team to Western Digital and look forward to working together to enhance our leadership position in enterprise and cloud-based storage.”

Unlike other acquisitions where existing product lines compete with acquired next-generation products, Tegile’s performance storage products will be the foundation for Western Digital’s DCS systems business.

And moving forward, they will continue to be key to DCS’s long-term strategy of building a multi-billion-dollar systems business. The combination of the two market-proven, innovative IntelliFlash product line with Western Digital’s global scale and world-class storage components will provide unprecedented economies of scale to capture a sizable share of the rapidly changing high-performance $24B storage market.

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