SanDisk Buys Fusion-io To Bring On Flash-Based Data Centres
Fusion-io, the nine year-old flash I/O acceleration specialist whose chief scientist is Steve Wozniak, has been bought by SanDisk for around $1.1 billion – less than its market cap of $1.23 billion.
Fusion saw it’s co-founders – CEO and CMO – leave last year and also it’s CFO. It has made a loss for the last five quarters. Revenues have been running at about $100 million a quarter.
The Q1 lass was $27 million.
Fusion-io went public in 2011 at $19 a share. Today’s price is $11.40.
Samsung and Lightspeed are among investors in the company.
The company’s main customers are Apple and Facebook who use Fusion-io’s products to speed up data centres. Other customers include IBM, Dell, HP, Cisco, Fujitsu and Supermicro.
Fusion-io acquired Nexgen Storage last year for about $120 million and IO Turbine for about $95 million in 2011.
“Fusion-io will accelerate our efforts to enable the flash-transformed data centre,” says SanDisk CEO Sanjay Mehrotra.