As reported on SearchITChannel, the devastated area is responsible for a large portion of the industry’s hard-disk drive production, and companies like Western Digital and Seagate are having supply chain problems as a result. Now, market research firm International Data Corp. is reducing its outlook for both hard drives and personal computer shipments as a result of the natural disaster.
IDC said that during the first half of 2011, Thailand accounted for 40 percent to 45 percent of the worldwide production of hard disk drives. Almost half of that capacity was taken offline because of the flooding. (What hasn’t been flooded has been compromised by lack of access and electricity outages.) The shortages will continue a least into the first quarter of 2012, according to IDC. Here’s what else the research firm predicts:
Said John Rydning, IDC research vice president for hard-disk drives and semiconductors, in a statement:
“In response to the crisis, priority will be given to the large PC manufacturers that drive [hard-disk drive] shipment volumes as well as to the high-margin products used in enterprise servers and storage. But the [hard-disk drive] vendors can’t neglect their smaller customers, whose business will continue to be important once capacity is fully restored. Some interesting production and partnering arrangements with customers can be expected as [hard-disk drive] vendors scramble to bring production back up while simultaneously angling for strategic advantage.”
Check out more IT channel news on SearchITChannel.com and follow us on Twitter! Here’s how to follow Heather Clancy directly.]]>