Western Digital acquires Sandisk: What is the Probable reason?

SanDisk

Western Digital is one name we all have stumbled upon at least once in our life. Knowingly or unknowingly we all have been storing all our memories in Western Digital hard disks. They have leveraged the world with the power to store and access data with  much more efficiency.

SanDisk

Western Digital has been partner for hard disk with almost every computer manufacturing enterprises in the world. Their presence in every computer has turned them into A Billion-Dollar Company.

Western Digital acquires Sandisk: Western Digital is in news for acquiring the chipmaker company Sandisk for a sum of $19 Billion. Western Digital looks forward to expand their reach across the globe with this acquisition. The acquisition came at a time when Sandisk was scally at a neck breaking speed.

The two enterprises are all set to launch new campaigns and counter the rising competition. Western Digital is adamant about establishing its presence throughout the globe. They are ready to face new challenges and solve the data storage problem of the world with their high quality services.

The CEO of Western Digital said at a conference that there is to remain the undisputed partner of computer manufacturing enterprises from around the world.

In recent past, we have heard a lot of news related to acquisition and sell over. Have you ever thought about the reason? Acquisitions that took place in recent past have few things in common. The world leaders of their sector made all of these acquisitions and startups with amazing growth rate were acquitted.

The current scenario of acquisitions forces a person to think about isocracies involved in the acquisition. It smells like as if the world leaders are looking forward to counter/clear the competition by acquiring the new borne companies with the potential to change the world.

Few reasons why Global Enterprises are acquiring small-scale enterprises/startups:

Facebook acquired WhatsApp and rewrote the history of acquisition. WhatsApp as an instant messaging application was challenging the existence of Fashion
on the face of this planet hence Facebook made the efficient use of funds available and acquire the biggest competition. Now something that was killing it, is now increasing its revenue.

In recent past, Alibaba has showed intricate interest in Indian E-commerce enterprises and it now virtually owns Snapdeal—an Indian e-commerce giant—with millions of satisfied customer. Aliababa understands the stiff competition that Amazon has been facing in India from Flipkart hence it is trying to strengthen its root in the country way before it starts selling in the Indian territory. Indeed a smart move.

Sandisk is one name that every one knows. It has been helping us carry important data from one place to another but Western Digital has been with us for longer but no needs have an iota of information about it. Western Digital as a global enterprise understands the threat when it sees one. Sandisk and other enterprises are a threat to its monopoly in the market hence it is looking forward to acquire it wipe out the competition in the name of increasing reaching on the global level.

Startups need to understand the market better; they have started from scratch and made it large even when there are such giant enterprises only because they have been solving a problem these enterprises have failed to solve hence selling out or getting acquitted is no less quitting.

Every entrepreneur should get persistent from now onwards and try not to out get acquitted by these giants, a bright future is awaited.


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