NetApp Acquiring SolidFire for $870 Million to Boost Flash

  • NetApp new CEO Kurian aiming to cut costs, restore growth
  • Flash-based storage is growing ahead of some forecasts
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NetApp Inc. agreed to buy SolidFire Inc. for $870 million in cash to boost its presence in the growing market for systems that can retrieve and store vast amounts of data at rapid speeds.

NetApp was the No. 4 player in the market for flash-storage devices, which use the same fast computer memory that’s found in smartphones and tablets, according to Gartner Inc. SolidFire, based in Boulder, Colorado, had sales of about $50 million in 2014, while NetApp had more than double that amount in the flash category, Gartner said. The two companies announced the deal in a statementBloomberg Terminal Monday.