seagate technology has reported it expects to buy rival companies maxtor for $ 1 . 9 billion . both companies produce hard drives . the deal , located at 60 % of maxtor ' s closing equity price , is intend to acquire maxtor ' s customers , not its companies . compaq , who also makes it for ibm ' s tablet 360 , will have over 40 % of the hard drive market share . the scotts valley , ca , where hewlett had 30 % of the hard drive market . provided the agreement makes it past regulatory committees , maxtor corporation will receive . 37 of a shared of seagate business stock for every 1 share of the watsonville resident corporation .
Maxtor is based in Milpita.