Dell in talks to buy data storage company EMC: source
By Mike Stone
(Reuters) - Dell Inc [DI.UL], the world's third largest personal computer maker, is in talks to buy data storage company EMC Corp EMC.N, a person familiar with the matter said, in what could be one of the biggest technology deals ever.
A deal could be an option for EMC, under pressure from activist investor Elliott Management Corp to spin off majority-owned VMware Inc (VMW.N: Quote).
The terms being discussed were not known, but if the deal goes through it would top Avago Technologies' (AVGO.O: Quote) $37 billion offer for Broadcom BRCM.O. EMC has a market value of about $50 billion.
Dell is also in talks with banks to finance an all-cash offer for EMC, the person told Reuters on condition of anonymity as the talks were confidential.
Dell spokesman David Flink and EMC spokesman Dave Farmer declined to comment.
A deal could further strengthen Dell's presence among corporate clients at a time when founder Michael Dell has been trying to transform the company he founded in 1984 into a complete provider of enterprise computing services such as Hewlett-Packard Co (HPQ.N: Quote) and IBM (IBM.N: Quote).
The talks come two years after Michael Dell and private-equity firm Silver Lake took Dell private for $24.9 billion, ending its decades-long run as one of the world's largest publicly traded PC makers.