1. Welcome to TechPowerUp Forums, Guest! Please check out our forum guidelines for info related to our community.

Western Digital Shakes off Thai Flood Impact, Retakes Hard Drive Market Lead in Q2

Discussion in 'News' started by Cristian_25H, Aug 30, 2012.

  1. Cristian_25H

    Cristian_25H News Poster

    Joined:
    Dec 6, 2011
    Messages:
    4,286 (4.42/day)
    Thanks Received:
    1,139
    Location:
    Still on the East Side
    Six months after losing the top spot in the global hard disk drive (HDD) segment due to the Thai flooding disaster, Western Digital Corp. in the second quarter recovered its market lead from chief rival Seagate Technology, according to an IHS iSuppli Storage Space Market Brief from information and analytics provider IHS.

    Western Digital produced approximately 71.0 million HDD units in the second quarter, including production from Hitachi GST, a company acquired by Western Digital earlier in the year. Revenue for Western Digital amounted to $4.8 billion—a company record.

    In comparison, Seagate shipped 65.9 million HDD units during the same period, with revenue reaching $4.5 billion—also a record in Seagate's books.

    "Western Digital lost its No. 1 unit shipment ranking to Seagate in the fourth quarter of 2012 after flooding in Thailand damaged its HDD manufacturing facility," said Fang Zhang, analyst for storage systems at IHS. "The company now has fully recovered from the disaster, allowing it to sharply increase shipments of HDDs for notebook PCs, up 28 percent from the first quarter. Western Digital is on track to retain the top spot in shipments and revenue for the third quarter."

    The table below presents the IHS iSuppli ranking of HDD suppliers in the second quarter.

    [​IMG]

    Total HDD shipments for the second quarter amounted to 157.0 million units, up 8 percent from 145.1 million in the first quarter. Western Digital enjoyed the biggest shipments share at 45 percent, followed by Seagate with 42 percent and Toshiba with 13. Total HDD revenue for the second quarter hit $10.3 billion, compared to $9.6 billion in the first quarter.

    Seagate, the market revenue leader for most of the time in the past decade, is forecast to sit in the runner-up spot again in the third quarter. Despite its fall to No. 2 in the second quarter, Seagate is the leader in the desktop, enterprise and non-PC segment, such as consumer electronics.

    Gross margins continued to remain high for both Western Digital and Seagate, indicating flush results, despite being a small decline in the second quarter.

    Western Digital's gross margin of 31 percent was 1 percent lower than in the first quarter, but still much higher than the previous record of 26.2 percent, seen some time ago in the fourth quarter of 2009.

    The slight decrease in margin was likely caused by pricing pressure three weeks before the end of the second quarter.

    Seagate's gross margin, in comparison, fell to 33 percent, down from 37 percent, but also still in better shape than the pre-flood level of 19.3 percent. Part of Seagate's lower margin was the result of product-specific concerns, such as noise issues in some desktop HDDs as well as contamination problems with some mission-critical enterprise HDDs. Both required a rework on Seagate's part, adding to costs. The company says the matters have been resolved, however, and third-quarter margins should remain in the 30 percent range.

    The tussle between Western Digital and Seagate—one of the historic continuing rivalries in the technology industry—is not about to ease up anytime soon. In particular, the fourth quarter will be a tossup, and the industry champion by then will depend on how well each company executes for the remainder of the year, coupled with the market performance of enterprise and consumer PC solutions on which hard disk drives depend.

    The third player in the HDD storage segment, Toshiba of Japan, produced 20.1 million HDD units and posted approximately $1.1 billion in revenue in the second quarter.
  2. _JP_

    _JP_

    Joined:
    Apr 16, 2010
    Messages:
    2,681 (1.71/day)
    Thanks Received:
    734
    Location:
    Portugal
    So, we gettin' cheaper HDDs or what?
    Also, f*** the local market for having low HDD stock (still) and narrowing the choices to 1/2TB, 1TB or 2TB.
  3. natr0n

    natr0n

    Joined:
    Jan 29, 2012
    Messages:
    1,821 (1.99/day)
    Thanks Received:
    933
    Yet,prices are still somewhat high.

    a 1tb drive was average $60 now it's $90-200

    They can f off already
  4. tacosRcool

    tacosRcool

    Joined:
    May 14, 2012
    Messages:
    860 (1.06/day)
    Thanks Received:
    71
    were are my low HDD prices then huh?
  5. Benetanegia

    Benetanegia New Member

    Joined:
    Sep 11, 2009
    Messages:
    2,683 (1.50/day)
    Thanks Received:
    694
    Location:
    Reaching your left retina.
    In the all time record revenue that both achieved in the same quarter, that's where your prices are.
  6. Static~Charge

    Static~Charge

    Joined:
    Nov 2, 2008
    Messages:
    471 (0.22/day)
    Thanks Received:
    85
    In some corporate lard-butt's wallet.
  7. n-ster

    Joined:
    Jan 11, 2009
    Messages:
    8,858 (4.37/day)
    Thanks Received:
    1,405
    I want some (just like 6-8) WD Reds 3TB but they are OOS everywhere :(
  8. de.das.dude

    de.das.dude Pro Indian Modder

    Joined:
    Jun 13, 2010
    Messages:
    7,521 (4.98/day)
    Thanks Received:
    1,951
    the rates are still double of what they used to be, lower prices or WD and seagate can F off.
  9. happita

    happita

    Joined:
    Aug 7, 2007
    Messages:
    2,355 (0.92/day)
    Thanks Received:
    394
    Thankfully people like us are not their only target market, otherwise they would be in some deep shit :laugh:
  10. n-ster

    Joined:
    Jan 11, 2009
    Messages:
    8,858 (4.37/day)
    Thanks Received:
    1,405
    well the 3TB drives for per TB prices isn't that bad compared to the 2TB back then... WD Red 3TB is like 180$? That's 60$/TB, I remember that a good price for a standard 2TB was 99.99$, so it is fair to say 120$ for something premium like the WD NAS drives :p
  11. Frick

    Frick Fishfaced Nincompoop

    Joined:
    Feb 27, 2006
    Messages:
    10,436 (3.39/day)
    Thanks Received:
    2,118
    To be honest the prices were INSANELY low. It was the same with memory. I think that time was an exception not the other way round.

    I think prices are alright now. 1TB Seagate Barracuda for 685SEK (€85), 2TB WD Green (or 1TB WD Black) for €110, 3TB €150. Not that bad imo.
  12. D007

    D007

    Joined:
    Mar 7, 2007
    Messages:
    3,060 (1.13/day)
    Thanks Received:
    374
    Location:
    Pompano beach, Florida
    I wouldn't call it "shaking off".. Their biggest competitor just had their best year as well. makes me wonder if WD lost some contracts due to production.
  13. CrAsHnBuRnXp

    CrAsHnBuRnXp

    Joined:
    Oct 19, 2007
    Messages:
    5,461 (2.20/day)
    Thanks Received:
    636
    I just bought a WD Green 2TB hdd for under $100. :clap:
  14. TheGuruStud

    TheGuruStud

    Joined:
    Sep 15, 2007
    Messages:
    1,615 (0.64/day)
    Thanks Received:
    168
    Location:
    Police/Nanny State of America
    Don't forget to disable head parking.
    CrAsHnBuRnXp says thanks.
  15. Frick

    Frick Fishfaced Nincompoop

    Joined:
    Feb 27, 2006
    Messages:
    10,436 (3.39/day)
    Thanks Received:
    2,118
    Why?
  16. TheGuruStud

    TheGuruStud

    Joined:
    Sep 15, 2007
    Messages:
    1,615 (0.64/day)
    Thanks Received:
    168
    Location:
    Police/Nanny State of America
    B/c it will park the head after 12 sec (I think that's the new value) of inactivity. So, any time the disk is accessed, then idle, it's going to park. Or if your drive is being polled once a minute (like speedfan or w/e), then the same thing is going to happen - over and over and over.

    Before you know it you've racked up 10s to 100s of thousands of parks and the drive dies.
    There's a reason the failure rate is so high. The reviews for all green drives are appalling.

    I've used them in builds (I have a 2TB EARS myself) just for the price. I have not had any failures and the PCs run pretty much 24/7 (although in my experience, this is the best way to run HDDs, never turn them off).

    You can d/l wdidle3 and put it on a bootable flash drive to disable it.

    I know, OT, but this info is important b/c a lot of ppl wonder why the drive is dead within a year.
    Last edited: Sep 1, 2012
    _JP_, de.das.dude and Frick say thanks.
  17. m1dg3t

    m1dg3t

    Joined:
    May 22, 2010
    Messages:
    2,246 (1.47/day)
    Thanks Received:
    513
    Location:
    Canada
    How do you get record sales/profits after a "shortage"?

    Stop spreading fucking lies! Bad enough the companies are doing it, does it have to be perpetuated by tech sites as well? :shadedshu

    This manipulating of consumers NEEDS to stop!
  18. Frick

    Frick Fishfaced Nincompoop

    Joined:
    Feb 27, 2006
    Messages:
    10,436 (3.39/day)
    Thanks Received:
    2,118
    A coolio. It depends on how you use it I guess. Drives those sizes I generally use just as storage (movies, iso's etc) so 12s shouldn't be that big an issue. Hmm. Is there a way to set a custom time to the parking?
  19. STCNE

    STCNE New Member

    Joined:
    Sep 1, 2010
    Messages:
    242 (0.17/day)
    Thanks Received:
    42
    Location:
    Connecticut USA
    Just had a 500GB WD Green die on me. It was 5 years old but it was only used every 6 months or so as it was a backup drive(and we're lazy :p). About 2 weeks ago I decided to just leave it hooked up to the computer 24/7 as I started using it to store my music on. It worked for a week like that before it died.

    It cost 75% more for the replacement 500GB Seagate than we paid for the WD all those years ago. The WD was one of those 'mybook' drives that came with an external enclosure, a USB cable, power cable, software, etc. while the seagate was a bare OEM drive.
    Absolutely ridiculous.
    Last edited: Sep 1, 2012
  20. timta2

    Joined:
    Jan 16, 2008
    Messages:
    813 (0.34/day)
    Thanks Received:
    113
    Location:
    Milwaukee, Wisconsin, USA
    Yes, as TheGuruStud mentioned, you can use Western Digital's wdidle3 program to adjust the head parking timer. You can set it to a max of 300 seconds I believe.
    Frick says thanks.
  21. _JP_

    _JP_

    Joined:
    Apr 16, 2010
    Messages:
    2,681 (1.71/day)
    Thanks Received:
    734
    Location:
    Portugal
    Yes, I've been reading about this, since I was planning to buy a couple of caviar greens. Thank you very much for the heads-up TheGuruStud, btw.
    And I've read that you can disable the head-parking entirely, instead of increasing the time until it parks, by using the /d command.
  22. CrAsHnBuRnXp

    CrAsHnBuRnXp

    Joined:
    Oct 19, 2007
    Messages:
    5,461 (2.20/day)
    Thanks Received:
    636
    So im trying to disable head parking but the utility that i apparently need to download says:

    [Window Title]
    C:\Users\\Desktop\wdidle3.exe

    [Content]
    The version of this file is not compatible with the version of Windows you're running. Check your computer's system information to see whether you need an x86 (32-bit) or x64 (64-bit) version of the program, and then contact the software publisher.

    [OK]

    Any chance you have a link? Ive tried searching Google but I cant really find anything concrete.
  23. suraswami

    suraswami

    Joined:
    Apr 5, 2005
    Messages:
    6,077 (1.78/day)
    Thanks Received:
    794
    Location:
    Republic of Asia (a.k.a Irvine), CA
    Actually 1TB+ drives are at reasonable price now. You can get a seagate 1.5TB 5900 RPM drive for $70 @ MC and 2 TB for around $100.

    So when is Toshiba HDD division going to be bought? and who is going to eat that?
  24. _JP_

    _JP_

    Joined:
    Apr 16, 2010
    Messages:
    2,681 (1.71/day)
    Thanks Received:
    734
    Location:
    Portugal
    WDIDLE3.exe only runs in DOS. Boot into DOS and execute the program.
  25. newtekie1

    newtekie1 Semi-Retired Folder

    Joined:
    Nov 22, 2005
    Messages:
    19,726 (6.21/day)
    Thanks Received:
    5,869
    The costs of HDDs will remain high, the flooding wasn't the only reason prices went up. The cost of materials and labor has gone up dramatically over the past 2 years. Due to prices of HDDs right before the flood, WDD and Seagate were actually losing money on every drive they sold. We got really spoiled a good 6 months before the flood because the smaller guys were on the bring of going out of business(which is why they all were so easily bought up by WD and Seagate). So they were basically flooding the market with cheap drives, causing the market to bottom out.

    Basically, hard drive prices are where they are going to stay. But hey, look at it like this, the WD 1TB Black drive was $120 a year ago, and now it is $109. Drives are back to pre-flood prices, they just went too far pre-flood...
    _JP_ says thanks.
    Crunching for Team TPU 50 Million points folded for TPU

Currently Active Users Viewing This Thread: 1 (0 members and 1 guest)

Share This Page