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Japanese production issues set to impact storage pricing says Origin Storage

March 2011 by Origin Storage

IT users need to plan ahead for their storage needs for the rest of the year, says Origin Storage, as the prices of magnetic sub-strata and other essential components of hard drives, such as motors, are set to soar in the wake of the double tragedy that has hit Japan in recent weeks.

That’s the message from Origin Storage, the storage systems specialist, where managing director Andy Cordial has been watching the newswires as component shortages are predicted for the immediate future.

"We are already seeing major corporates advancing their storage purchases as they plan ahead for rising prices in the face of a possible hard drive shortage," he said.

"This could also push up the price of solid state drives (SSDs) as, whilst prices of SSDs have been falling steadily over the last 24 months - and capacities have risen - we fully expect to see higher-capacity SSDs being scooped up for their speed of access and greater tolerance to shocks," he added.

According to Cordial, whose company has been supplying a range of storage systems and solutions for approaching a decade, reports have been filtering through the sales channel about production plant issues from the likes of SFD, TDK and Kobe Steel, all of whom supply the magnetic sub-strata that makes up the platters of hard drives.

According to our sources the good news, the Origin Storage MD went on to say, is that there are good stocks of both hard drives and SSDs in the UK sales channel, the UK should have enough stock that will last until the third quarter of 2011

"All of this means that the big four hard drive players - Samsung, Seagate, Toshiba and Western Digital/Hitachi - will see their component prices rise in the short term, a situation that translates to higher prices and stock shortages at the sharp end," he said.


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