Samsung seeking buyer for hard drive arm

A report claims that Samsung is looking to rid itself of its storage division, seeking a buyer for its hard drive manufacturing arm in order to stem the loss it is currently experiencing.

While nobody at Samsung has been able to confirm or deny the claim, a source speaking to The Wall Street Journal who is supposedly 'familiar with the matter' claims that Samsung is seeking a buyer for its hard drive division at a valuation of $1.5 billion.

The unnamed source claims, however, that the company is so keen to see its hard drive arm removed, in order to better concentrate on money-making divisions like its Exynos processor and flash memory groups, it could be willing to drop that to $1 billion or less to encourage a quick sale.

"Samsung is considering selling its HDD business as it is not strategic to succeed; it is neither a follower or a leader in the business, and it's making a loss," the source is quoted as claiming during an interview.

While no prospective buyers have yet come forward, one name on the table is hard drive giant Seagate, which would help the company claw back market share it lost when Western Digital bought Hitachi's hard-drive division, boosting the company to a majority market share.

Whosoever buys Samsung's hard drive division - if, indeed, it turns out to be for sale at all - will find their market share boosted by an estimated 11 per cent globally, although will have to make some serious cutbacks to get the business back into the black.