Hitachi, IBM join HDD operations

IBM Corp. has completed an agreement to combine its HDD operations with Hitachi Ltd, forming a new company called Hitachi Global Storage Technologies.

Under the agreement, Hitachi has purchased the majority of IBM's HDD-related assets for $2.05 billion. As planned, Hitachi has paid 70 percent of the purchase price to IBM. Hitachi will pay the remainder to IBM over the next three years.