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Dennis Hissink : January 5th 2005 - 05:00 CET

SanDisk acquires MDRM


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SanDiskSanDisk Corporation announced the acquisition of MDRM, a privately-held Israeli company that is focused on developing end-to-end solutions for distributing secure content through flash memory cards. With offices in Israel and Sunnyvale, MDRM was founded in 2002 by CEO Dan Harkabi and CTO Gidi Elazar, both pioneers in developing the USB flash drive category, a portable device that has large memory capacities and attaches to the USB port of a personal computer. MDRM has worked closely with SanDisk and has adapted the SanDisk flash controller to create a version of SanDisk's Cruzer USB flash drive that is capable of delivering valuable content in a protected and secure environment.
The first application of this technology is BookLocker, which allows students in grades K-12 to carry electronic versions of their textbooks on a device weighing less than 1 ounce. Thus, they can bring home schoolwork without toting heavy books or knapsacks. And for textbook publishers, BookLocker offers a proven end-to-end system solution that keeps the content secure.

MDRM has been renamed SanDisk Secure Content Solutions and will continue to promote BookLocker with other partners through the U.S. educational system.

In making the acquisition announcement, Yoram Cedar, SanDisk's senior vice president of engineering and emerging market business development, said, "We are excited about MDRM's vision and impressed with the powerful technology that they have developed which, we believe, is readily adaptable to a broad range of applications in the distribution of protected content through our cards and flash drives."

Joining SanDisk, said Harkabi, provides his company with an instant global reach and superior flash card technology. "This will enable us to accelerate the penetration of our technology for content distribution in the PC and mobile worlds," he said.

Added Elazar: "BookLocker, which we have developed in the past two years, is applicable for content far beyond textbooks, and I look forward to working at SanDisk to create the next level of such value-added flash devices."

The transaction was completed on December 2, 2004. Terms were not disclosed.




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