One of the biggest suppliers of LCD panels to notebook and PC monitor manufacturers, AUOptronics, has been convicted by a US court on Tuesday, of price-fixing, a serious anti-competitive practice that cripples innovation and is bad for consumers and progress of the industry. The company faces fines as high as US $1 billion, which could amount to a big blow to the company that already finds itself facing losses.

AUOptronics' conviction follows the December 2011 mega-settlement of LCD makers including Samsung, Sharp, Hitachi, HannStar, and Chimei Innolux. At the time, AUOptronics and LG Electronics were the only fence-sitters. LG Electronics agreed to pay a US $400 million fine, in 2008. AUOptronics' current position is that it finds the evidence presented against it, which led to the conviction as being "distorted and incomplete," and that it will appeal against the verdict. The quantum of fine levied against AUOptronics will surface in the months ahead.

Western Digital Corp. today announced that it has completed its acquisition of Viviti Technologies Ltd. (formerly Hitachi Global Storage Technologies), effective Mar. 8, 2012, for $3.9 billion in cash and 25 million shares of WDC common stock valued at approximately $0.9 billion. Hitachi, Ltd. now owns approximately 10 percent of WDC shares outstanding, and it has the right to designate two individuals to the board of directors of WD.

The new WD will operate with WD Technologies (WD) and HGST as wholly owned subsidiaries. Aggregated revenues of the two companies in 2011 were $15 billion. As chief executive officer of WD, John Coyne heads up the new office of the CEO, with Steve Milligan as president, Tim Leyden as chief operating officer and Wolfgang Nickl as chief financial officer.

Western Digital (WD), secured an approval (conditional), from the European Union regulator in-charge of competition that enables it to go ahead and purchase Hitachi's hard disk drive business. WD is purchasing Hitachi's HDD assets for US $4.3 billion. "The proposed divestiture will ensure that competition in the industry is fully restored before the merger is implemented," EU Commissioner Joaquin Almunia said in a statement. What makes the EU approval conditional is the fact that WD had to first agree to sell several of its production operations, which it did, to Toshiba, early this month.

Hitachi Data Systems Corporation, a wholly owned subsidiary of Hitachi, Ltd., today announced that it will expand its family of blade and rack server products for the enterprise market. The forthcoming Hitachi Compute Systems will be based on the new Intel Xeon processor E5-2600 product family introduced today by Intel Corporation.

"By leveraging the new Intel Xeon processor E5 family, upcoming Hitachi Compute Systems will feature faster performance, higher density and greater energy efficiency," said Roberto Basilio, vice president, Infrastructure Platforms Product Management, Hitachi Data Systems. "Hitachi Compute Systems offer innovative designs with unique advantages in scalability, flexible I/O configuration and high availability. They are ideal servers upon which to build converged data center solutions. Seamless management integration with Hitachi Data Systems storage and data networking components give customers an easy operational interface. This saves costs, reduces errors and allows faster, more effective deployment and management of virtual IT environments - all of which create greater efficiencies across the data center."

Hitachi Global Storage Technologies (Hitachi GST), a leading supplier of enterprise-class solid state and hard disk drives, today announced that EMC Corporation (NYSE:EMC) has qualified and is now shipping Hitachi Ultrastar SSD400S SLC-based (single level cell), 2.5-inch, SAS solid state drives (SSD) in its "all Flash" VNX Unified Storage systems for mission-critical Microsoft and Oracle environments. The Ultrastar SSD400S family is the world's first jointly develop SAS and FC enterprise-class SSDs, combining Hitachi GST's proven enterprise HDD strength with Intel's extensive capabilities developing high-endurance SLC NAND flash memory and advanced SSD technology. All of this powers Hitachi GST's leading line SSDs with high endurance, reliability and sustained performance for Tier 0, mission-critical server and storage workloads.

Toshiba Corporation (TOKYO:6502) today announced that it has entered into a definitive agreement with Western Digital Corporation (NYSE: WDC) on Toshiba's acquisition of certain of Western Digital's 3.5-inch HDD manufacturing equipment and related intellectual property, and the transfer to Western Digital of Toshiba Storage Device (Thailand) Co., Ltd. (TSDT), Toshiba's wholly-owned HDD manufacturing subsidiary located in Thailand.

Toshiba and Western Digital aim to complete the acquisition and transfer by March of this year after obtaining approval from the relevant authorities. Under the agreement, Toshiba will acquire the following equipment and intellectual property from Western Digital.

• Manufacturing equipment for 3.5-inch HDDs for use in desktop PCs and other consumer applications, plus related intellectual property; and
• Manufacturing equipment for near-line HDDs for server applications.

Western Digital Corp. (NYSE: WDC) today reported that it has reached an agreement with Toshiba Corporation to divest certain assets to address the requirements of regulatory agencies that have conditionally approved or are continuing to review the company's planned acquisition of Hitachi Global Storage Technologies (HGST). The asset package covered by the agreement will enable Toshiba to manufacture and sell 3.5-inch hard drives for the desktop and consumer electronics markets and will enhance its ability to manufacture and sell 3.5-inch hard drives for near-line (business critical) applications. The divestiture transaction is subject to review by regulatory agencies in certain jurisdictions.

WD also reported that it has agreed, subject to completion of the divestiture transaction, to purchase Toshiba Storage Device (Thailand) Company Limited (TSDT). TSDT manufactured hard drives but has not resumed operations after the recent Thailand flooding. The principal assets of TSDT are its Thailand property, facilities and employees. Subject to completion of the transaction, WD plans to integrate these facilities and employees into its Thailand operations. The financial terms of the two agreements were not disclosed.

Nexsan, a leading independent provider of disk-based data storage systems, today announced immediate availability of 3 TB Hitachi 5700 RPM drives as an option for all Nexsan E-Series storage systems. Enhanced with Hitachi's CoolSpin technology, Hitachi's 5700 RPM 3 TB drives run cooler and are energy efficient to complement Nexsan's AutoMAID power savings technology. Combined with E-Series storage systems, the new high capacity drives are ideal for digital video storage (DVS), disk-to-disk backup and archival applications.

Hitachi Global Storage Technologies (Hitachi GST) today announced that it has shipped more than 25 million Travelstar Z-series, 7 millimeter (mm) z-height, 2.5-inch hard disk drives (HDD), enabling a new era of thin and light portable computers, ultra-compact CE devices and industrial systems. The company also announced that it is now shipping its new 500 GB, Travelstar Z7K500 drive - the industry's fastest and highest capacity, one-disk, 7,200 RPM HDD.

All Hitachi GST Z-series drives can serve as a direct replacement for standard, 2.5-inch 9.5 mm hard drives. They feature common connectors and mounting points for simple integration into existing systems, and enable greater design flexibility to differentiate and meet market demands for new, thinner, lighter and more robust devices.

Japanese built-to-order gaming PC maker Ark PC unveiled an AMD-powered variant of its Tathlum Gaming PC desktop (model: CY-AF8A99A-C2). The machine is built into a Cooler Master HAF 912 Advanced chassis, and is accompanied by a 23-inch full-HD monitor. In the driver's seat is AMD FX-8150 processor, seated on an ASRock Fatal1ty 990FX motherboard, with 8 GB dual-channel DDR3-1333 MHz memory, and AMD Radeon HD 7970 3 GB graphics. The processor is cooled by a Zalman CNPS9900MAX Red. Other components of interest include a Hitachi DeskStar 1 TB 7200 RPM SATA 6 Gb/s hard drive, onboard HD audio, and gigabit Ethernet. A SilverStone ST75F-SST-P 750W 80 Plus Silver PSU powers it all. Windows 7 Home Premium x64 is the OS of choice. The Tanthum CY-AF8A99A-C2 is priced at 167,800 JPY (US $2,175).

Demonstrating its commitment to delivering leading-edge technologies and solutions for enterprise-class servers and storage systems, Hitachi Global Storage Technologies (Hitachi GST) today announced that its Ultrastar enterprise-class solid state drive (SSD) family is the industry's first to use 25-nanometer (nm) single-level cell (SLC) NAND flash.

The Ultrastar SSD400S.B family combines Hitachi's proven enterprise hard disk drive (HDD) expertise with Intel's extensive capabilities in developing high-endurance SLC NAND flash memory and advanced SSD technology. The drives also conform to the Trusted Computing Group's Enterprise A Security Subsystem Class encryption specification, helping customers protect sensitive data, and reduce the costs associated with drive retirement and reuse.

Western Digital Corp. today reported revenue of $2.0 billion, hard-drive unit shipments of 28.5 million and net income of $145 million, or $0.61 per share, for its second fiscal quarter ended Dec. 30, 2011. Excluding charges and expenses related to the Thailand flooding and the planned acquisition of Hitachi Global Storage Technologies (HGST), non-GAAP net income was $358 million, or $1.51 per share. During the quarter, the company incurred charges and expenses of $199 million related to the flooding and expenses of $14 million associated with the planned acquisition of HGST.

In the year-ago quarter, the company reported revenue of $2.5 billion, net income of $225 million, or $0.96 per share, and shipped 52.2 million hard drives.

Hitachi Global Storage Technologies today announced that it has added two new hard drives to its portfolio of high quality solutions - the 1 TB Travelstar 5K1000 and the 4 TB Deskstar 7K4000. Both hard drives will ship in its line of G-Technology branded solutions, which are exclusively designed for the Apple Mac and content creation community.

Five major LCD panel makers, including Samsung, Sharp, Hitachi, HannStar, and Chimei Innolux; agreed to pay over US $553 million in settlement to regulators for a price-fixing case. The case by regulators alleged that these companies colluded to fix prices of LCD panels 1999 and 2006, affecting billions of dollars of commerce. The scam unearthed in 2006, by regulators of Japan, Korea, United States, and the European Union. Many companies and executives have since pleaded guilty to criminal antitrust violations and paid more than US $890 million in fines so far.

The latest payout of $553 million is aimed to resolve claims by "indirect" purchasers that bought televisions and computers with thin film transistor LCDs, as well as claims by eight USA states: Arkansas, California, Florida, Michigan, Missouri, New York, West Virginia and Wisconsin. It also includes payments of $14.7 million by the companies to settle civil fine and penalty law claims by the states, the office of New York Attorney General Eric Schneiderman said. He stated "This price-fixing scheme manipulated the playing field for businesses that abide by the rules, and left consumers to pay artificially higher costs for televisions, computers and other electronics."

Optical disc drives have been pretty cheap for years now, yet there is enough money in the business, that three executives managed to collude in price fixing of these devices, scamming HP, Dell and Microsoft in the process - and in the end the consumer, who foots the higher prices. The three are from Hitachi-LG Data Storage Inc. (HLDS) and have reached a plea agreement with the U.S. Department of Justice on price fixing charges for optical disc drives during the 2005-2009 timeframe. According to Security Week, the three executives, Sang Hun Kim, Young Keun Park, and Sik Hur, will each pay $25,000 USD in fines and serve little sentences of seven to eight months in prison at a "correctional facility" aka prison, that is yet to be decided.

Following yesterday's announcement of two 4TB consumer hard drives, Hitachi Global Storage Technologies has today unveiled a little something for the enterprise market, the Ultrastar C10K900 series. This new line includes 300 GB, 450 GB, 600 GB and 900 GB HDDs which feature a 2.5-inch form factor, a SAS (Serial attached SCSI) 6.0 Gbps interface, 64 MB of cache, an average seek times of 3.8 milliseconds, an average latency of 3.0 ms, and an operating/idle power draw of 5.8/3.0 W. A Bulk Data Encryption option will also be available on specific models.

According to Hitachi, its new Ultrastar drives deliver 18% higher sequential and up to 17% higher random performance than the nearest competitor, and are perfect for Tier 1 enterprise networked storage arrays, or for blades and other rack-mounted servers.

The Ultrastar C10K900 hard drives have begun shipping in small quantities but they'll go into volume production in Q1 2012.

Hitachi Global Storage System has now taken the veil off not one but two 4 TB storage solutions, the Deskstar 5K4000 3.5-inch hard drive which we mentioned on Friday, and a 4 TB Touro Desk external drive. The 4 TB Deskstar HDD features a 3.5-inch form factor, a SATA 6.0 Gbps interface, 32 MB of buffer, it utilizes the CoolSpin technology (~ 5900 RPM) and is currently shipping in limited quantities in both OEM and retail versions. The retail package, which includes the drive, mounting screws, and install instructions, costs $399.99.

The 4 TB Touro Desk is equipped with one Deskstar 5K4000, has a black, textured body, a USB 3.0 interface, and offers 3 GB of cloud storage for free from HitachiBackup.com. This drive will ship in January and will cost $419.99.

While the hard drive industry as a whole continues to be affected by the Thailand floods, Hitachi Global Storage Technologies (GST) is ending 2011 on a high note by starting shipments of its first 4 TB 3.5-inch HDD. Codenamed HDS5C4040ALE630 and likely part of the Deskstar 5K (we're guessing 5K4000) series, the 4TB drive has yet to be announced by Hitachi but it can be found on sale in Japan, priced at 26,800 yen (~ US $ 345 / 259 Euro).

Hitachi's 4 TB hard drive has 32 MB of buffer memory, a SATA 6.0 Gbps interface and makes use of the CoolSpin technology, which means its (likely four) platters operate at around 5900 RPM. No word yet on a 7200 RPM version but it's probably in the cards for 2012.

Western Digital Corp. (NYSE:WDC) today is updating its financial outlook for the December quarter and the progress to date of its operations recovery effort in Thailand. The company is also providing its view of the industry conditions for the December 2011 quarter and beyond.

Western Digital Corp. today reported that on November 18, 2011, an arbitration award of $525 million was rendered against the company by a sole arbitrator in a pending confidential arbitration action in Minnesota. The amount of the award does not include prejudgment interest, which will be subsequently determined. The award involves claims brought by Seagate Technology LLC against WD and one employee who was formerly employed by Seagate, alleging misappropriation of confidential information and trade secrets.

"We do not believe there is any basis in law or fact for the damage award of the arbitrator," said John Coyne, president and chief executive officer. "We believe the company acted properly at all times and we will vigorously challenge the award. This does not affect our ability to conduct our operations, to complete the recovery and recommencement of our Thailand operations or, subject to obtaining the required regulatory approvals, to consummate our planned acquisition of Hitachi GST."

Western Digital Corp. (NYSE: WDC) today reported revenue of $2.7 billion, hard-drive unit shipments of 58 million and net income of $239 million, or $1.01 per share, for its first fiscal quarter ended Sept. 30, 2011. The company's results include expenses of $21 million associated with the planned acquisition of Hitachi Global Storage Technologies (Hitachi GST) announced Mar. 7, 2011 and unrelated litigation accruals. Excluding these expenses, non-GAAP net income was $260 million or $1.10 per share.

In the year-ago quarter, the company reported revenue of $2.4 billion, net income of $197 million, or $0.84 per share, and shipped 51 million hard drives. The company generated $352 million in cash from operations during the September quarter, ending with total cash and cash equivalents of $3.7 billion. For more information, refer to First Quarter Fiscal 2012 Investor Information Summary.

Post production pros know that you can never have enough fast, cool and reliable storage. Dedicated to serving the Apple Mac and creative professional audio/video (A/V) markets, G-Technology by Hitachi is demoing its first 4TB hard drives at IBC 2011 (Stand #7.D12a) in its two-drive, RAID 0, G-RAID solution. Continuing to develop innovative and creative storage solutions for those looking to push creativity beyond the limits, the 8TB G-RAID demo shows how G-Technology is making digital production faster, super-sized and affordable, giving users a competitive edge in the demanding entertainment and film industry.

As the first to ship a multi-disk 1TB hard disk drive (HDD) in 2007, Hitachi Global Storage Technologies (Hitachi GST) today announced that is has achieved yet another 1TB milestone by squeezing it on a single disk. Leveraging the company's strong R&D heritage and time-to-market leadership, the new one terabyte per platter (1TB/platter), one-disk, Hitachi Deskstar 7K1000.D drive family is now shipping worldwide. Featured in both Deskstar and CinemaStar brands, Hitachi is providing a full range of capacities, 250GB - 1TB, on both low RPM CoolSpin and 7,200 RPM platforms.

With the addition of the new Deskstar and CinemaStar drives, which are first in a family of 1TB/platter drives, Hitachi continues to offer one of the broadest most reliable product lines for desktop and mobile solutions. For the ultra thin and light notebook market, Hitachi delivers the 7mm z-height Travelstar Z5K500 drives (636 gigabits per square inch "Gb/in²"). And now, ideal for high-performing desktop computers and the consumer electronics (CE) market, Hitachi presents the new 1TB/platter Deskstar and CinemaStar family drives (569 Gb/in²).

Until recently, conventional wisdom stated that SLC-based (single level cell) solid state drives (SSDs) were the only drives suitable for demanding Tier 0 Enterprise applications. That has changed with the introduction of Hitachi Global Storage Technologies' (Hitachi GST) new Ultrastar SSD400M MLC (multi level cell) SSD family. As a cost-effective alternative to SLC SSDs, Hitachi GST's Enterprise MLC SSDs are the most advanced in the industry, utilizing Intel's 25 nanometer (nm), highest endurance Enterprise-grade, MLC NAND Flash and delivering outstanding performance. Couple this with Hitachi GST's known quality and reliability, and the result is a compelling Enterprise-class MLC SSD that meets the performance, capacity, endurance and reliability demands of today's Enterprise and Cloud data centers. Targeting Enterprise capacity sweet spots, the Ultrastar SSD400M family is available in a 2.5-inch form factor with a 6Gb SAS interface in capacities of 200GB and 400GB.

Known for delivering premium external storage solutions engineered to meet the needs of the Apple Mac community, G-Technology by Hitachi today introduced its G-CONNECT wireless storage solution, the first in a family of products providing instant, wireless storage and 802.11n WiFi Internet access for your Apple iPad, iPhone and many other mobile devices. The G-CONNECT solution provides on-the-go wireless access to content that's not already loaded on your iOS devices, including your favorite movies, music, books, photos and documents. No Internet connection is required. G-CONNECT provides access to five+ simultaneous devices, depending on the workload, and supports up to five SD or three HD video streams at once.

When connected via Ethernet to a network, the G-CONNECT drive becomes your own personal cloud or WiFi Internet access point, allowing you to surf and stream content, wirelessly, at the same time. Access and view content on the G-CONNECT solution with a mobile iOS app, which will be available in the App Store, or through your browser. Android devices are also supported with access through a web browser, with native apps available this fall.