Seagate wins $525M from Western Digital in arbitration

Western Digital said it would challenge the ruling on a case tied to misappropriation of trade secrets

Seagate has been awarded US$525 million in arbitration in connection with a trade secrets case against Western Digital, which said it would challenge the ruling.

Seagate alleged that Western Digital and a former Seagate employee misappropriated confidential information and trade secrets. The arbitration ruling was rendered in Minnesota, and the award will also include prejudgment interest, which has yet to be determined.

Western Digital said it would challenge the arbitration ruling as there is no legal basis to it.

"We believe the company acted properly at all times and we will vigorously challenge the award," said John Coyne, Western Digital CEO, in a statement. The ruling will not hurt the company's ongoing operations, which have been disrupted by the flooding in Thailand.

Seagate and Western Digital did not return requests for comment.

Seagate and Western Digital are the top two hard-drive vendors in the market, according to market research firm IHS iSuppli. Western Digital held a 32 percent market share in worldwide hard drive unit shipments during the second quarter this year, while Seagate held a 31 percent share, according to iSuppli.

The companies are also snapping up competitors as the hard-drive market contracts. Western Digital in March agreed to acquire Hitachi's hard drive business for $4.3 billion, which is undergoing regulatory approvals. Competitor Seagate in April agreed to buy Samsung's hard drive business for $1.38 billion, which has been approved by the European Union.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags legalwestern digitalCivil lawsuitsSeagate Technology

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Agam Shah

IDG News Service
Show Comments

Cool Tech

Toys for Boys

Family Friendly

Stocking Stuffer

SmartLens - Clip on Phone Camera Lens Set of 3

Learn more >

Christmas Gift Guide

Click for more ›

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?