Avago Agrees to Purchase LSI for US$6.6 Billion
Just two weeks ago, we reported that Toshiba has agreed to purchase OCZ's assets in the midst of the latter's bankruptcy. And today, we have yet another acquisition taking place in the storage industry. Avago, who makes a wide range of semiconductors and sensors, has agreed to acquire LSI Corporation for US$6.6 billion. This will be the company's biggest acquisition in its history.
The name Avago might not ring a bell, but chances are, you are using a product with Avago technology in it. For instance, Avago makes a wide range of sensors for computer mice, and also makes the LTE duplexer module in Apple's latest iPhones.
By purchasing LSI, Avago is looking to increase its presence in the networking and storage space, areas of growth identified due to the increase in demand for cloud computing and storage needs. LSI is the company behind the very popular SandForce SF-2281 controller used in many high-end consumer SSDs.