Western Digital has announced its plan to separate into two companies, focusing on the hard disk and flash memory businesses. The decision to split into two entities stems from the distinct nature of the hard disk and flash memory sectors, necessitating different marketing strategies. The separation will enable the company to adapt more quickly to the unique requirements of each business.
While Western Digital will continue its operations in the hard disk business, the flash memory business will be spun off into a new company (which currently remains unnamed). The company’s board of directors has approved this plan, and the separation process is expected to be completed in the second half of 2024.
Western Digital’s flash memory business, which emerged from the acquisition of SanDisk in 2016, has been marketed under the SanDisk brand. It remains to be seen whether this separation will result in the return of the SanDisk name.
TLDR: Western Digital plans to split into two companies, one focusing on hard disks and the other on flash memory. The separation aims to cater to the unique needs of each sector, utilizing different marketing strategies. The flash memory business, originally acquired from SanDisk, may or may not retain the SanDisk branding following the split. Completion of the separation is expected in the latter half of 2024.
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