On April 23, 2024, Seagate Technology and its subsidiaries, Seagate Technology HDD (India) Private Limited and Seagate Singapore International Headquarters Pte. Ltd., entered into an Asset Purchase Agreement (APA) with Avago Technologies International Sales Pte. Limited, a subsidiary of Broadcom Inc. The APA involved the sale of certain assets related to the design, development, and manufacture of system-on-chip products for $600 million in cash. As part of the agreement, Avago Technologies agreed to offer employment to some of the employees involved in the SoC Operations.
Furthermore, Seagate Technology LLC and Purchaser have restructured an existing purchasing agreement in connection with this transaction. The agreement includes remedies for both parties in case of non-compliance with the terms, such as the possibility of terminating the relationship prior to its expiration. This transaction marks a significant move in the technology industry and demonstrates the strategic decisions being made by Seagate Technology and Broadcom Inc.