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Consumers benefit again

According to reports, we may witness a price war in the hard drive business industry. At least this is what Seagate Technology CEO Bill Watkins said on Wednesday. Seagate is currently the world's largest hard drive manufacturer and competes with such companies as Western Digital, Hitachi, Samsung and Toshiba. According to Watkins "If pricing doesn't drop for us, it'll be an upside." Seagate is expecting stiff price cutting from its competitors through into 2007.

Seagate believes that despite the aggressive price cutting from competitors, the only gains they are receiving are minor. Watkins indicated that "[our competitors] are getting volume units and share, but it's lousy share." Watkins said that Seagate gains more share because of product quality, reliability and support rather than heavy price cutting. Watkins also noted that Seagate's competitors are cutting prices so much, it erodes into the profitability of its competitors.

Seagate acquired its largest competitor, Maxtor, earlier this year and announced that it would cut the company in half. Seagate mentioned that despite the job cuts, it would keep many of Maxtor's enterprise level product lines and services. Seagate also made several announcements of its own so far this year, including a 300GB, 15,000 RPM, perpendicular Cheetah and 1TB NAS products under the Maxtor brand name.

At the moment, Seagate is one of the few companies that are not under investigation by the US Securities and Exchange Commission. The SEC is currently investigating more than 80 companies for stock-option manipulations and back-dating practices that give huge financial gains to executive level employees. Watkins indicated that he was confident about his company's business practices, saying "we have a very rigorous stock-option grant program. It's such a rigorous process. We feel confident."



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HDD space
By biohazard420420 on 8/14/2006 8:56:57 PM , Rating: 2
Ok I am sorry this has actually nothing at all to do with the article itself or most of the posts I read. First off I have used WD and Seagate and never had any problems with either as far as drives failing. I did have one but it was close to 6 or 7 years old sorry cant remember the maker. The point of my post is this you buy a 300 or 350 GB HDD but you dont really get 300 or 350 GB of useable space. A fair portion is taken up by formatting maybe a few GB's maybe 10. So in reality in order to use your 300GB HDD you arent going to have 300GB of space to use. I realize this is kind of a nit picky thing and maybe it just me. I personally think if they are going to sell a 300GB drive then they should account for the space lost to formatting and work in anoth 5 or 10 GB over the 300 to give you an actual useable 300GB drive. and from my experience and I could and probally am wrong in this but the bigger the drive the more space lost to formatting. Im sorry but why buy a 400GB drive only to lose 10 maybe even 20GB in space formatting when I can buy a 450GB drive (If they make that particular size) in order to get the 400GB of space I wanted in the first place.




RE: HDD space
By bldckstark on 8/15/2006 1:22:20 PM , Rating: 2
In simple terms, each type of disk formatting uses a different amount of space. FAT, FAT32, NTFS, etc.. all have different systems for administrating the space so they can't label the box "272GB" because it changes with how you format it when you get home.

The larger the drive, the more space it must use to administer the data, so the larger the "lost" amount. If you check you will see that the area lost is a fairly consistent percentage of disk size dependent upon format.

If it really bothers you maybe you could join the class action suit in California against hdd manufacturers for this same reason. Although the readers of DT will continue to make fun of those people.


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