SOLVED Seagate CEO: Hard Drive Production Won’t Return to Pre-Flood Levels for a Year

Discussion in 'Hardware' started by Nibiru2012, Nov 22, 2011.

  1. Nibiru2012

    Nibiru2012 Quick Scotty, beam me up! Moderator

    Joined:
    Oct 27, 2009
    Messages:
    4,955
    Location:
    Planet X
    From: Hardware Canucks 11-21-2011

    PERSONAL NOTE: For those who have NOT recently checked out hard drive prices, you WILL be shocked!

    The two Samsung HD103SJ 1TB drives that I own, which I bought for $70 from Newegg about a year ago are now $159.00 plus $8.99 shipping!! More than double what I paid.

    Now the article:

    In late October, Hardware Canucks reported that retailers were raising their prices on Hard Drives because flooding in Thailand had shutdown a number of key production facilities. Now, Seagate’s CEO is forecasting that it could take up to a year for the industry to return to pre-flood production levels.

    Two of Seagate’s main competitors – Western Digital and Toshiba – have production facilities in the industrial heartland immediately north of Bangkok, which also happens to be a floodplain. This area was hit the hardest, wiping out employee’s homes and destroying sensitive equipment in the factories.

    Seagate, however, has its operations in Teparuk, an area of Thailand that has been uncharacteristically dry. As a result Seagate has the majority of its capacity intact, though has shortages from some suppliers who have had their factories flooded.
    “It’s going to be very interesting to see who gets drives and who doesn’t,” said Seagate CEO Stephen J. Luczo to Bloomberg. Luczo claims he has been talking with customers who are eager to lock up some of Seagate’s excess capacity, even at higher prices.

    Luczo told Bloomberg that he is also considering requiring all Seagate suppliers to move their operations outside of the flood plain, to avoid a repeat of this incident. Seagate is reportedly fronting loans to some suppliers as an incentive to move their operations, and get them back online.

    “People are going to appreciate the complexity of this business,” Luczo remarked.
     
    Nibiru2012, Nov 22, 2011
    #1
    1. Advertising

  2. Nibiru2012

    bassfisher6522 VIP Member

    Joined:
    Feb 9, 2010
    Messages:
    729
    Location:
    NC
    Supply and demand at it's finest.....bollocks!!! Now, not only am I being priced gouged at the gas pumps, the grocery store, any and all retail stores...my 3 favorites..Walmart, BestBuy and Dicks. Now I'm going to get the shaft on hard drives pricing as well.....will the madness of it all ever end!!!!!
     
    bassfisher6522, Nov 22, 2011
    #2
    1. Advertising

  3. Nibiru2012

    clifford_cooley VIP Member

    Joined:
    Mar 8, 2009
    Messages:
    4,911
    I'm very happy to see that comment and think it should be a per-requesite for all big manufacturing companies. Building in a natural disaster area is only looking for troubles.

    The thing that shocked me the most was an 80GB drive that was made several years ago nearly tripled in price. Honestly I wouldn't have paid the price for an 80GB before the disaster. I know I'm not going to pay the price for one now. I don't mind the price inflation for the high capacity drives so much. Even with the inflation of the high capacity drives, they would have trouble selling me an 80GB drive at the price before the inflation.
     
    clifford_cooley, Nov 22, 2011
    #3
  4. Nibiru2012

    Nibiru2012 Quick Scotty, beam me up! Moderator

    Joined:
    Oct 27, 2009
    Messages:
    4,955
    Location:
    Planet X
    I feel that some retailers and suppliers, i.e. hardware manufacturers are taking advantage of the situation and needlessly inflating HDD prices. For example, the one Cliff stated about an older 80GB HDD going for three times the price of just a few months ago.

    These are totally unnecessary increases IMHO for older drives, but IF the market will bear it then why not? Probably the pricing is being set by an individual named: Ben Dover!
     
    Nibiru2012, Nov 23, 2011
    #4
  5. Nibiru2012

    Elmer BeFuddled Resident eejit VIP Member

    Joined:
    Jun 12, 2010
    Messages:
    1,050
    Location:
    Durham UK
    Getting exactly the same here (obviously). The Samsung SpinPoint F3 HD502HJ I bought and paid £32.72 in June this year, is now priced at £97.79.

    Methinks my plans to get another (or larger) are definitely on hold!
     
    Elmer BeFuddled, Nov 23, 2011
    #5
    1. Advertising

Want to reply to this thread or ask your own question?

It takes just 2 minutes to sign up (and it's free!). Just click the sign up button to choose a username and then you can ask your own questions on the forum.
Similar Threads
  1. centsless

    New hard drive.

    centsless, Oct 27, 2009, in forum: Installation, Setup and Updates
    Replies:
    1
    Views:
    1,254
    catilley1092
    Dec 13, 2009
  2. flyhalf47
    Replies:
    10
    Views:
    3,019
    Nibiru2012
    Nov 16, 2010
  3. Nibiru2012

    SOLVED Seagate to take over Samsung's Hard Drive business

    Nibiru2012, Apr 23, 2011, in forum: Hardware
    Replies:
    8
    Views:
    2,052
    catilley1092
    Apr 24, 2011
  4. kanna
    Replies:
    5
    Views:
    6,975
    Lyndyloo
    Dec 29, 2012
  5. Lyndyloo
    Replies:
    7
    Views:
    2,725
    Lyndyloo
    Jan 5, 2013
Loading...

Share This Page