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IBM hands over HDD biz to Hitachi

by - source: Tom's Hardware

Hitachi and IBM intend to pool their respective hard disk businesses in a joint venture, which is expected to 70 per cent controlled by Hitachi. The Japanese manufacturer will make an unspecified cash payment to IBM for its HDD assets. IBM's HDD business is making a loss and the logic behind the deal, details of which are still been negotiated, is to combine the two firm's respective operations, staff and intellectual property to create a more efficient operation. The joint venture will be based in San Jose, California.

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