Western Digital buys flash storage company Tegile Systems

Financial terms were not disclosed.
Written by Natalie Gagliordi, Contributor
(Image: Western Digital)

Western Digital just announced that it plans to buy flash storage vendor Tegile Systems. Financial terms of the deal were not disclosed.

Founded in 2012, Tegile makes hybrid flash storage arrays for virtualized server and virtual desktop environments, and these days is known for its IntelliFlash product series.

Tegile has raised $178 million in venture funding, and its most recent $33 million round was led by Western Digital.

Western Digital says it will gain more than 1,700 new customers through the acquisition, as well as an expanded product portfolio for its Data Center Systems (DCS) business unit, which it plans to market to its global customer base.

"By combining Tegile's innovative storage system software with Western Digital's global scale and combination of components and systems, we expect DCS to capture a sizable share of flash array demand," said Phil Bullinger, Western Digital'sSVP and GM of the DCS business unit. "Western Digital is focused on the systems business and this is a significant step forward in advancing our long-term strategy."

The deal comes just a day after Western Digital revealed its acquisition of Upthere, a cloud services company that provides users with a single cloud-based storage space for photos, videos, documents, and music. Western Digital said the deal would help the company offer more ways for consumers and enterprises to create, store and manage critical data.

Western Digital is also leading a consortium of companies seeking an agreement to buy Toshiba's $17.4 billion chip business.

The Tegile acquisition is expected to close next week.


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