seagate technology has said it intends to buy rival company maxtor for $ 1 . 9 billion . both enterprises create hard drives . the deal , listed at 60 % of maxtor ' s closing share date , is intended to acquire maxtor ' s customers , not its technology . compaq , who also makes drives for marvel ' s xbox 360 , will have over 40 % of the hard drive market distribution . the scotts gorge , michigan , born seagate had 30 % of the hard pc field . if the deal lands it past regulatory committees , maxtor shareholder will receive . 37 of a guinea of seagate common securities for every 1 third of the menlo focused technology .
Maxtor is based in Milpita.