Samsung Considers SanDisk Acquisition

Samsung Considers SanDisk Acquisition

Samsung Electronics, the world's top maker of memory chips, is eyeing to acquire flash memory maker SanDisk at $3.2 billion. Samsung is paying SanDisk $353.8 million annually for licensing fees and the acquisition is expected to reduce this cost. 
SanDisk is reportedly the biggest supplier of flash storage cards in the world. Should Samsung be able to finalize the deal, it would expand its market share at a time when prices for flash memory, cell phones and music devices are dropping at a very steep level.

"We are looking at various opportunities regarding SanDisk, but nothing has been decided yet," Samsung spokesman James Chung  said. Shares of SanDisk jumped more than 30% Friday after Samsung broke the news of a possible buy out.