Western Digital buys Komag for $1 billion

Western Digital has bought Komag, a company that supplies its buyer with thin-film media used to create disk drives, for $1 billion. The deal is expected to close in the third quarter of the year, and has been completely approved by both boards, with just regulatory approvals needed to be cleared. The deal is overshadowed somewhat by the statement by one analyst that unusual trading in options ahead of the deal looked "suspicious," which makes it hard for us to recall an example where stock trading in the time immediately surrounding a merger deal wasn't suspicious.

[booyaka @ Jul 1st 2007 8:36PM]

Has Steve Jobs comfirmed this?

[Luke @ Jul 1st 2007 8:47PM]

$1 billion? Is it just me or is that number absolutely ludicrous for a buyout?

[trancer @ Jul 1st 2007 9:41PM]

maybe it not in dollars ($) ?

[DAZA @ Jul 2nd 2007 5:13AM]

Why is it ludicrous? YouTube was bought out for 1.6bn, a lot of companies get bought out for more and for less. I don't get your point?

[ScOObyDoo @ Jul 1st 2007 8:54PM]

Interesting times ahead for Seagate and Hitachi since Komag also supplies them with their products.

[Russell @ Jul 1st 2007 9:18PM]

Next on Engadget, What this could mean for iPhone v.2.0!

[Natedog @ Jul 2nd 2007 12:25AM]

Congratulations, you've just won the Asshole Award by being the first person to leave an iPhone-related comment in this non-iPhone related thread. This is currently the only post on Engadget not related to the iPhone. Leave it that way.

[ddaw735 @ Jul 1st 2007 9:45PM]

Nothing iphones are flash based.
Any fanboy should know that.
You sir suck at life.

[Simtech @ Jul 1st 2007 10:08PM]

That sir, was sarcasm. Please learn to recognize it. It could strike at any time.

[ddaw735 @ Jul 1st 2007 10:35PM]

sorry I was off for a moment.
Im humbled

[Zach @ Jul 1st 2007 9:46PM]

It'll be interesting with seeing this play out between Seagate vs WD considering that Seagate now owns Maxtor and Western Digital now owns a supplier for Seagate.

[Jason Brown @ Jul 1st 2007 10:05PM]

I read this news 2 days ago. I wonder if engadget is just now releasing all the real news now that the iphone has come out. kinda lame getting stale news from a source known for its timely release of information.

[Ray Raddatz @ Jul 1st 2007 10:31PM]

test

[Bosco @ Jul 1st 2007 10:35PM]

I live a mile away from WD headquarters in Lake Forest, CA. It is right across the street from Carl's Jr, and from the drive thru, I have seen lots of activity at lunch time over the past few weeks. Also, I drive by there late at night to and from the gym and have seen cars in the parking lot. I also hear that a block down at Fufi Grill, lots of WD execs have been having dinner while their kids wash their Benzes at the local self-car-wash. Didn't everyone else see this coming?

[Dennis @ Jul 2nd 2007 12:07AM]

not everyone else lives a mile the WD headquarters mate.

[pdd @ Jul 2nd 2007 1:42PM]

I coincidentally live near WD and used to work there. The execs have always had Benzes and the such. The headquarters is actually "dark" this week and not many ppl are working, forced to use their vacation time. This probably doesn't mean much but I found it funny that someone else that lives around WD would respond to this post. Ok.

[Bosco @ Jul 2nd 2007 3:32PM]

Yeah, but did you ever eat at the Fuji (I typo'd it Fufi in my post) Grill? I really liked that place when it was The Manhattan Deli. The two sisters-in-law who ran it were Russian immigrants, both ended up divorced, one was really into the food and service, the other into the aesthetics of the place (and twirling her hair). Good times...

[Al Deezy @ Jul 1st 2007 11:03PM]

Interesting!

[Randomness @ Jul 2nd 2007 5:17AM]

Seagate: We need 20k xyz platters.
Komag: No problem!
Komag/WD to warehouse: Send Seagate those 20k so-so platters we got in the back. I hope they don't plan on putting a 5 year warranty on those! Har! Har! har!

[Minleong @ Jul 5th 2007 1:48AM]

WD bought Komag : It affect to my company which i am working as QA exec.
FYI, WD is the biggest customer for Showa, while my company supply Sub. to Showa. So, once WD bought Komag, WD start to cut-off orders from Showa, while Showa cut-off our orders.... so today many lines were stopped !!

[tom @ Sep 5th 2007 6:28PM]

No way