Given Dell's experience with buying LeftHand networks I was surprised when the WSJ indicated they were thinking of doing this. I would have expected someone like NetApp to buy EMC (or perhaps Hitachi) but the enterprise storage business has been banged around lately. When I was at NetApp, EMC were the folks everyone wanted to be, the turn around still amazes me.
I guess at the end of the day its hard to be a successful storage company in a world dominated by things like S3.