HDD makers slash shipment figures, though prices could drop soon

vbimport

#1

HDD makers slash shipment figures, though prices could drop soon.

[newsimage]http://static.rankone.nl/images_posts/2011/11/T4y21Q.jpg[/newsimage]All four major hard disk drive manufacturers saw operations hindered by recent flooding in Thailand. Factories were waterlogged, and the component supply chain was disrupted. A report from insider news site DigiTimes this week shed some light on just how bad the companies were hit.


Read the full article here: [http://www.myce.com/news/hdd-makers-slash-shipment-figures-though-prices-could-drop-soon-54712/](http://www.myce.com/news/hdd-makers-slash-shipment-figures-though-prices-could-drop-soon-54712/)


Please note that the reactions from the complete site will be synched below.

#2

“DigiTimes found that a reduced demand for PC HDDs, coupled with retailers’ stockpiled inventories, will drop prices back down by December.”

Someone want to tell me what alternate universe that is obviously flooded with LSD are these people living in?

I see prices on Newegg up by 300% on drives that I purchased previously.
TigerDirect and Geeks prices are similar.

Even walmart prices are up 50% (I haven’t checked in the last 48hours) on external drives that have been gathering dust on shelves since August

so where are these 10% price increases?

Are the retailers attempting to screw us that hard?

AD


#3

[QUOTE=AllanDeGroot;2612134]Are the retailers attempting to screw us that hard?
AD[/QUOTE]Nothing new. :slight_smile:
Normally HDDs are a buyers market, but at the moment HDDs are a sellers market.
Don’t buy them at these inflated prices and the price will soon drop.


#4

Note to all Manufacturers;
Building a Factory (no matter how cheap the land and labour force) in the middle of a Flood Plain is a bad idea! Just ask all of the morons living along the Mississippi and Red Rivers!


#5

[QUOTE=Dee;2612136]Nothing new. :slight_smile:
Normally HDDs are a buyers market, but at the moment HDDs are a sellers market.
Don’t buy them at these inflated prices and the price will soon drop.[/QUOTE]

This is what’s called a speculative market… unfortuantely consumer laws are not sufficient to protect the consumer from supply/demand specualtion on what a consumer will pay for a limited supply of computer equipment. Therefore some of he highest quality & highest capacity hard drives (fastest commerical grade 3tb drives) command a price of around $600 under a “speculative” price gouging market whereas under a normal market that drive wouldn’t budge past $275. This has gotten worse under the global energy prices (OIL, mainly) which keep getting higher on average each and every year. If the world can’t tame that beast… every consumer good from hard drives to baked beans will continue to go upward.

Speculation makes the retail market a profiteer’s market and you should not be caught up in the fear to buy a hard drive at twice the “street” price just because that’s what retail charges. There are several black friday/cyber monday specials on hard drives if you MUST purchase one… this stock was shipped out of the factories MONTHS before the floods caused major damage… and it is unethical/immoral to gouge on these prices… the q1 shipments should go higher… that would indicate a drive mfg date of October - December, not June - September. Yeah, the slow boat from Asia takes almost 5 weeks… a month for customs, another month for the wholeseller to dice & slice to micro wholesalers and finally retail/resellers (at least 3 $$ mark-ups from company to end user). Luckily, this industry is usually on a shorter regulatory leash than other industries because of how important it is. If gouging persists, expect regulators to begin investigations to slap down profiteering.


#6

I KNOW that drives don’t take that long to go from the factory to my hands.

I’ve bought drives many times that show mfg dates less than three weeks past.

Not too long ago I bought a 320gb IDE notebook drivce for a customer and it was less than a month old, I was suprised that it was actually still in production rather than older inventoried stock…

The record was on a 500gb Scorpio black Notebook hard drive that I had shipped from newegg and I was cloning my notebook OS onto NINE
days after the labeled mfg’ed “born on” date.

at the time I was very impressed with that short time span so I remember it.
Remember that that date included the shipping time to me from Newegg, so I presume air freight (rather than “slow boat from Thailand”) was involved.

My point is that MSRP prices from the mfg’s have merely doubled, retailer prices whench were ALWAYS lower than MSRP are now triple what they were?

Frankly why isn’t everyone FURIOUS over this?

I know why I’m furious, I have no work.

I fix computers, most of the computer I fix NEED new HDDs
with prices as they are it is simply financially impractical for people
to have me do what I do.

When I could throw a $50 HDD and three hours of labor reinstalling
their OS & drivers at a computer to fix it it is not so bad, but these
drive price increases have more than doubled what it costs to fix
their computer.

People will usually accept a <$200 repair bill when replacement cost is $700.
But when the bill jumps to $350 they balk, and I cannot blame them,

but there is this thing called food, I need it to live. and these price gougers are quite literally
taking food out of my mouth…or atleast forcing me to drink cola rather than $20/lb coffee
from Sumatra to wash down my $5 a bar swiss chocolate.

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#7

[QUOTE=AllanDeGroot;2612134]“DigiTimes found that a reduced demand for PC HDDs, coupled with retailers’ stockpiled inventories, will drop prices back down by December.”

Someone want to tell me what alternate universe that is obviously flooded with LSD are these people living in?[/QUOTE]

You’re missing the point. The drastic increase in prices will reduce demand. People will simply stop buying as many hard drives until the prices become more reasonable, or at least, more in line with what they are willing to pay. Eventually, the reduction in demand will lead to a drop in pricing.


#8

[QUOTE=negritude;2612278]You’re missing the point. The drastic increase in prices will reduce demand. People will simply stop buying as many hard drives until the prices become more reasonable, or at least, more in line with what they are willing to pay. Eventually, the reduction in demand will lead to a drop in pricing.[/QUOTE]

No I’m being realistic in DIS-believing that prices will fall as fast as they went up.

And I know damned well people aren’t buying,
most drives I buy are to resell incident to a repair.
and I don’t have the financial cushion to have been
buying many drives ahead. I’m literally down to my
last 320gb notebook drive.

I have “enough drives” for my own needs and could likely go atleast another year with no inconvenience, so “for my own needs” the high prices mean “don’t buy [I]now[/I]” for myself

what you are missing is that because I cannot economically repair computers my home computer customers are buying new computers, which translates to a continuing economic loss, “economically practical repair” is >50% of my income, and when someone buys new I probably won’t see them again for atleast three years (if then).

I’m looking at a continuing economic loss until prices return to normal… and beyond (how far beyond depends on how long this lasts)
however long that takes. (and a likely permanant loss of some customers)

Telling me “it’ll get better soon” while I’m being financially screwed is no comfort whatsoever, and knowing the screwing isn’t over yet only makes it worse.

AD


#9

[QUOTE=Dee;2612136]Nothing new. :slight_smile:
Normally HDDs are a buyers market, but at the moment HDDs are a sellers market.
Don’t buy them at these inflated prices and the price will soon drop.[/QUOTE]
it’s not that simple.
I just wasted a day, 1/2 by discovering that windows recovery can’t restore a system image from a network backup, even when that backup has been copied to a USB drive … because 2 ocz vertex2 ssd’s died horribly, one without warning, the other with intermittant issues. (That’s 4 for 4 ssd breakdowns now, ending my enthusiasm for the technology)

HDD’s that I wouldn’t have considered paying $50 for 2 months ago, were the obvious choice today :frowning: Decent HDDs were 2-3x the previous price. Some places didn’t even have HDDs to sell.

Seriously, 500gb 5400rpm notebook drives were $200, up from $60 last month, 1tb 7200rpm 3.5"HDDs were $200, up from $80.
Tragic!

If it wasn’t for every SSD that I’ve laid eyes on failing in under 6months, I’d have considered those again.