LSI Logic Corp. (NYSE: LSI) granted LSI Logic Storage Systems Inc. its declaration of independence today, saying it plans to spin the growing segment off into a separate company (see LSI to Spin Off Storage Systems Unit).
LSI Logic Storage Systems is currently a wholly owned subsidiary of LSI Logic Corp. LSIs board gave management the go-ahead to pursue the split, and the parent company is considering an IPO for the storage systems company in the first half of 2004. If an IPO takes place, LSI may distribute the remaining shares of the storage business to stockholders in a tax-free transaction or sell or hold a portion of the sales.
Initial investor reaction was positive: LSI Logics stock price rose sharply and traded at its highest point since Sept. 25.
The split would result in two companies, one selling storage systems and the other semiconductors. Tom Georgens, president of the LSI Logic Storage Systems subsidiary for the past five years, will become CEO of the new storage systems company. LSI Logic CEO Wilfred Corrigan said the storage subsidiarys executive team will remain in place.
We anticipate that a separation will intensify the market focus and strategic direction of the two companies, Corrigan said in a statement.
To realize the benefits of cloud-native software, an application must actually be cloud-native—designed to run in the cloud, interacting with disaggregated cloud services, fully manageable as code—to deliver the expected benefits.
By combining resources and expertise, the AI-Enabled ICT Workforce Consortium will offer a blueprint for how industries can adapt to an AI-dominated future.
IT leaders should heed the guidance of cybersecurity insurance providers who think businesses should prioritize security education, incident preparedness, regular internal audits, and ongoing vulnerability scanning and patching.
