Seagate Technology
Type | Public (NASDAQ: STX) |
---|---|
Industry | Computer hardware |
Founded | 1979 |
Founder(s) | Alan Shugart Tom Mitchell Doug Mahon Finis Conner Syed Iftikar |
Headquarters | Scotts Valley, CA, USA |
Area served | Worldwide |
Key people | Alan Shugart (Founder) Stephen J. Luczo (Chairman CEO and President) Bob Whitmore (CTO) Pat O'Malley (CFO) Dave Mosley, EVP Sales, Marketing & PLM |
Products | Barracuda Cheetah Seagate BlackArmor Seagate FreeAgent GoFlex Seagate Replica Seagate Showcase Maxtor Momentus Savvio |
Revenue | US$ 9.805 billion (2009)[1] |
Operating income | US$ -2.635 billion (2009)[1] |
Net income | US$ -3.086 billion (2009)[1] |
Total assets | US$ 7.087 billion (2009)[1] |
Total equity | US$ 1.524 billion (2009)[1] |
Employees | 54,000[1] |
Subsidiaries | Maxtor |
Website | www.seagate.com |
Contents[show] |
[edit] History
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[edit] 1970s
On November 1, 1978 Seagate Technology (then called Shugart Technology) was incorporated as a disc drive manufacturer by co-founders: Al Shugart, Tom Mitchell, Doug Mahon, Finis Conner and Syed Iftikar.[3] The name was soon changed to Seagate Technology to avoid confusion with Xerox's subsidiary Shugart Associates (also founded by Shugart).[edit] 1980s
Their first product (released in 1980) was the 5-megabyte ST-506, the first hard disk to fit the 5.25-inch form factor of the (by then famous) Shugart "mini-floppy" drive. The hard disk used a Modified Frequency Modulation (MFM) interface, was a hit, and was later released in a 10-megabyte version, the ST-412 with which Seagate secured a contract as a major OEM supplier for the IBM XT, IBM's first personal computer to contain a hard disk. The large volumes of units sold to IBM, as IBM was the dominant supplier of PCs at the time, fueled Seagate's early growth.In 1983, Al Shugart was replaced as president by then chief operating officer, Tom Mitchell. Shugart continued to oversee Seagate planning.
Finis Conner left Seagate in early 1985 and founded Conner Peripherals, which originally specialized in small-form-factor drives for portable computers. Conner Peripherals also entered the tape drive business with its purchase of Archive Corporation. After ten years as an independent company, Conner Peripherals was acquired by Seagate in a 1996 merger.
In 1989, facing increased competition and margin pressure, Seagate acquired Control Data's MPI/Imprimis (CDC) disk storage division. This acquisition gave Seagate access to CDC's voice-coil and disk-manufacturing patents. As well, the purchase provided access to a high-end server customer base and the first 5,400 RPM drives on the market (the CDC Elite series).
[edit] 1990s
1991 - (September) Tom Mitchell resigned under pressure from the board of directors. Al Shugart reassumed presidency of the company.1992 - (November) Seagate introduced the Barracuda hard drives, the industry's first hard disk with a 7200 RPM spindle speed.
1993 - (May) Seagate was the first to ship 50 millionth hard drive.
1996 - (February) Merges with Conner Peripherals to form world's largest independent hard-drive manufacturer. (October) Seagate introduced the industry's first hard disk with a 10,000-RPM spindle speed.
1997 - (May) The High Court of Justice in England awarded Amstrad PLC $93 million in a lawsuit over reportedly faulty disk drives Seagate sold to Amstrad, a British manufacturer and marketer of personal computers[6].
1997 - (October) Seagate introduced the first Fibre Channel interface hard drive.
1998 - (March) Seagate produced its 1 billionth magnetic recording head. (July) Shugart resigned his positions with Seagate.[7] (August) Seagate Research is established in Pittsburgh.
1999 - (April) Seagate ships its 250 millionth hard drive.
[edit] 2000s
2000 - Seagate incorporated in Grand Cayman.2000 - (February) Seagate introduced the first 15,000-RPM hard drive.
2001 - (October) Microsoft Xbox game console shipped with Seagate hard drives.
2002 - (December) Seagate re-entered the public market (NYSE: STX).
2003 - (June) Seagate re-entered the hard drive market for notebook computers.
2005 - (March) Seagate shipped its 10 millionth 15,000-RPM hard drive. (September) Seagate acquired Mirra, Inc. (November) Seagate acquired ActionFront Data Recovery Labs.
2006 - (January) Seagate named 2006 "Company of the Year" by Forbes Magazine. (May) Seagate acquired Maxtor in an all-stock deal worth $1.9 billion. (October) Seagate shipped the first hybrid drive.
2007 - Seagate acquired EVault and MetaLINCS, later rebranded i365.[8]
2008 - (April) Seagate was the first to ship 1 billion hard drives.
2009 - (January) Bill Watkins was released from employment as CEO. [9]
[edit] 2010s
2010 - (January) On January 27, 2010, Seagate's Board approved changing the company's incorporation Seagate from the Cayman Islands to Ireland. The change was approved at a shareholders meeting on April 14, 2010 and it is expected that the change of incorporation will take effect in the second half calendar year 2010.[10]On September 21, 2010 Seagate released the worlds first portable 1.5TB hard drive. [11]
[edit] Corporate affairs
Seagate was traded for most of its life as a public company under the symbol “SGAT” on the NASDAQ system, then moved to the NYSE system under the symbol “SEG” in the 1990s. In 2000 to reduce income taxes Seagate incorporated in the Grand Cayman Islands. In 2000, the company was taken private by an investment group composed of Seagate management, Silver Lake Partners, Texas Pacific Group and others in a three-way merger-spinoff with Veritas Software; Veritas merged with Seagate, which was bought by the investment group. Veritas was then immediately spun off to shareholders, gaining rights to Seagate Software Network and Storage Management Group (with products such as Backup Exec), as well as Seagate's shares in SanDisk and Dragon Systems. Seagate Software Information Management Group was renamed Crystal Decisions in May 2001. Seagate re-entered the public market in December 2002 on the NYSE as "STX."[edit] Automatic acoustic management and Convolve lawsuit
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During the course of lawsuit, National Union Fire Insurance Co. of Pittsburgh claimed the insurers have no duty to defend Seagate, but a federal judge in California ruled that NUFICOP must defend the claim.[15][16]
Although Seagate had tried to suppress evidence from Seagate's opinion counsel's conclusions on attorney-client privilege grounds, Convolve claimed that the evaluation was fair game for discovery. The district court found that Seagate had waived the privilege to all documents within the scope of the waiver as defined in In re Echostar Communs. Corp, and ordered Seagate to turn over all documents exchanged amongst outside counsel relating to the alleged use by Seagate of the Convolve patents.[17] Seagate unsuccessfully tried to stay this decision at the district court level before the Federal Circuit stepped in.[18] However, the Federal Circuit determined that the waiver of attorney-client privilege should not be extended to trial counsel.[19]
In 2008, the Board of Patent Appeals and Interferences of the U.S. Patent and Trademark Office ruled in favor of Convolve Inc. and against Seagate Technology Inc. The Board denied Seagate's motions challenging the patentability of Convolve's claims. Seagate did not appeal the Board's decision.[20][21] In 2008-08-20, U.S. Patent and Trademark Office (USPTO) concluded U.S. patent 6,314,473 was valid, without change to the originally issued claim scope. Convolve also filed lawsuit against Dell Computer, Western Digital, Hitachi Global Storage Technologies, Inc., and Hitachi Ltd., asserting the '473 and another patent.[22] In 2009-04-01, USPTO concluded five of the original U.S. Patent 4,916,635 ('635) claim were valid, but the patent had expired during reexamination proceedings. The ruling allowed Convolve to claim damages against Seagate prior to the patent's expiration, with trial beginning in January 2010.[23]
As a result of the lawsuit, Seagate drives has stopped supporting automatic acoustic management on hard drives beginning with Seagate Barracuda 7200.7, before rulings of the trial had been decided. Nevertheless, some Barracuda 7200.7 drives included AAM support.[24] In later products such as Seagate Barracuda 7200.12, the quiet seek mode is set at the factory and cannot be adjusted by end users.[25]
[edit] Acquisitions
- Conner Peripherals
- CDC Imprimis
- Maxtor
- MiniScribe
- Quantum Corp's hard drive division
- Digital Equipment Corporation's hard drive division
[edit] References
- ^ a b c d e f Financial statements for Seagate Technologies
- ^ digitimes.com: Western Digital likely to unseat Seagate in 2010, says The Information Network
- ^ a b Seagate Technology Prospectus, Sept 24, 1891
- ^ Old-Computers.com
- ^ "Seagate Technology SEC Filings". U.S. Securities & Exchange Commission. http://google.brand.edgar-online.com/DisplayFiling.aspx?TabIndex=2&FilingID=6735007&companyid=85676&ppu=%252fdefault.aspx%253fsym%253dstx. Retrieved 2008-08-02.
- ^ "Seagate to pay $93 Million in Amstrad suit". The New York Times. 1997-05-10. http://www.nytimes.com/1997/05/10/business/seagate-to-pay-93-million-in-amstrad-suit.html?pagewanted=1. Retrieved 2010-01-30.
- ^ "Separation agreement and release, Exh 10.14 to Seagate 10K for fiscal year ending July 3, 1998". United States Securities and Exchange Commission. 20 August 1998. http://www.sec.gov/Archives/edgar/data/354952/0001012870-98-002215.txt. Retrieved 2006-12-14.
- ^ I365.com
- ^ http://www.siliconbeat.com/2009/02/10/ousted-seagate-ceo-to-get-5m-company-wont-contest-any-unemployment-claim
- ^ Seagate 10Q, May 5, 2010
- ^ http://www.washingtonpost.com/wp-dyn/content/article/2010/09/23/AR2010092306805.html
- ^ Convolve, Inc., et al v. Compaq Computer Corp, et al
- ^ Compaq & Seagate Sued For $800 Million - Company Business and Marketing
- ^ United States Court of Appeals for the Federal Circuit Miscellaneous Docket No. 830
- ^ Insurers Must Defend Even 'Groundless, False, Fraudulent' Claims
- ^ National Union Fire Insurance Company of Pittsburgh, PA, et al., vs Seagate Technology, Inc.: Case No. C04-01593 JW (HRL) - Order denying plaintiffs' motion for an order to show cause
- ^ Waiving Attorney-Client Privilege: Patent Opinions Developed by In-House Engineers, Patent Agents and Attorneys
- ^ Federal Circuit Decision in Seagate Redefines the Willfulness Standard for Patent Infringement Claims
- ^ Waiver from Advice of Counsel Defense Does Not Extend to Trial Counsel: In re Seagate Technology, LLC
- ^ The Board of Patent Appeals and Interferences Decides in Favor of Convolve Against Seagate in Disk Drive Technology Interference
- ^ Board of Patent in Favor Convolve Against Seagate
- ^ PTO Reexamination Finds Convolve Patent Valid
- ^ USPTO Finds Convolve Patent Valid in Reexamination - Convolve v. Seagate Patent Trial Set for January 2010
- ^ 160G/8mb-cache Faceoff: Samsung vs. Seagate
- ^ Seagate's Barracuda 7200.12 hard drive 500GB platters spinning at 7,200RPM
[edit] External links
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