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Thread: OCZ sold to Seagate for $1 billion

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    Default OCZ sold to Seagate for $1 billion

    OCZ sold to Seagate for $1 billion

    We reported a while back that Seagate were looking to get their hands on OCZ. The value of the deal was not known, just that OCZ were valued at $300 million and Seagate were to have to pay considerably more than that for the acquisition,
    An unofficial Seagate report has confirmed the deal has been finalised, for a staggering $1 billion – more than 3 times the market value of OCZ. This is great news for OCZ’s CEO, Mr. Ryan Petersen, who has managed to take OCZ from a DRAM memory module manufacturer worth $150 million per year to a successful SSD company worth more than $700 million each year.
    However for consumers this is a deal that is going to be bad news. We’ve seen what both Seagate and Western Digital are doing in the hard drive market – artificially maintaining prices at high levels to keep revenue abnormally high. Now it seems Seagate will probably do something similar with OCZ. OCZ has always been the company to lead the market with the cheapest price SSDs, setting the SSD “bang for buck” standard. With Seagate at the helm, expect OCZ’s market leading price cuts to slowly fizzle out.
    All that aside, hats off to OCZ and Ryan Petersen for making one of the most successful SSD companies in the world in the space of a few years.

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    Default Re: OCZ sold to Seagate for $1 billion

    I dont know what to say. Is this going to be good new's fore those that have OCZ Product's or not?

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    Default Re: OCZ sold to Seagate for $1 billion

    Bad news, IMO. Seagate will controll pricing

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    Default Re: OCZ sold to Seagate for $1 billion

    Very bad news. Prices will now go up. Just my opinion.

    "A lawyer with his briefcase can steal more than a hundred men with guns."

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    Default Re: OCZ sold to Seagate for $1 billion

    Well that just suck's fore all of us

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    Default Re: OCZ sold to Seagate for $1 billion

    I agree this is bad. Seagate and WD pretty much control everything. Prices will stagnate at current prices or go up slightly in the short term. Long term? It will be a long time before you see 50 cents a gigabyte on SSDs.

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    Default Re: OCZ sold to Seagate for $1 billion

    Yeah, Seagate and WD are slowly but surely monopolizing both the HDD and SSD markets. This is not good for us, especially considering that SSD prices are just now finally starting to come down. We can kiss that goodbye.
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    Default Re: OCZ sold to Seagate for $1 billion

    Ya. Those of us that are on a tight budget wont be able to get one. I have to sell thing's to afford my Rig's.

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    Default Re: OCZ sold to Seagate for $1 billion

    Prices should stay where they are for a while longer, and other companies may drop prices in response to this news. Eventually, the large price drops we have been seeing are going to stop though. Jmo.
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    Default Re: OCZ sold to Seagate for $1 billion

    So we now have Micron/Intel, Seagate, WD and Samsung....... Who am I missing out of the majors of SSD?

    SSD makers where already trying to halt the pricing from falling further by decreasing production of memory chips used to make ssds. jerks

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    Default Re: OCZ sold to Seagate for $1 billion

    You forgot Plextor. They make some of the best (and most expensive) drives. And yeah, it's a cold hustle these companies have going on.

    There is also Crucial and Kingston. They are major players too.
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    Default Re: OCZ sold to Seagate for $1 billion

    OCZ doesn't make their own memory for SSDs though, so unless every other company is willing to follow suit and keep prices very high, someone will go lower and consumers will buy from that company instead.

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    Default Re: OCZ sold to Seagate for $1 billion

    I wonder if they'll still honor the lifetime warranties on OCZ memory.


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    Default Re: OCZ sold to Seagate for $1 billion

    Tobisha / Intel / Micron / Samsung / Marvell / LSI- Sandforce, Control the SSD market without these parts no one can make SSDs How do you guys figure Seagate will control the market?

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    Default Re: OCZ sold to Seagate for $1 billion

    Well it is what it is.If it wasent. it would int be.

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    Default

    Quote Originally Posted by PC_User View Post
    Tobisha / Intel / Micron / Samsung / Marvell / LSI- Sandforce, Control the SSD market without these parts no one can make SSDs How do you guys figure Seagate will control the market?
    You dont think the buyer of those parts have any sway on production? They are the major distribution channels for those parts. WD and Seagate has a lot more pull in the overall market then you giving them credit for. Say the prices for ssd are going down because the market has been flooded with memory chips used to make ssds. WD and Seagate has two options to slow the fall or stagnant the market. Tell the manufacturers to slow production causing supplies in the chain to dry up slowing the fall of prices or option 2. Buy all supply in the chain still having the same effect as option one.

    Example: http://www.tomshardware.com/news/tos...ory,16440.html 7/27/12
    " Toshiba has just announced a drastic production cut for flash memory devices. Responding to deteriorating market conditions, weak pricing as well as an oversupply of flash memory in the market, the world's second largest flash maker said that it is scaling ..."

    This is exactly how major players like seagate and wd adds pressure to market pricing in their favor. think Toshiba did that on their own accord without a phone call from other players who will also be following suit.
    "If you got it, Build it"

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