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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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Maxtor sucks also
By Randalllind on 8/15/2006 10:21:00 AM , Rating: 2
Everyone tells me they are great frist drive I had was a 3.5gb back in the late 90's caught fire overheated. Maxtor said because it had black burmmarks on it it void my warrenty.

This was after I mailed it back and they saying it was going to be replace. Then they mailed it back with that comment. So I told the head of Maxtor customer service I will never buy another hd and I will be calling WD for now on.

I have never had an issue with a WD going bad by itself. I had one bad out of the box which was replace with no question ask. Then last year my pc went off ruining an HD again they replace it no question asked.

I also repair computers and for some strange reason maxtor drives love to disapear form bios on bootup with no known reason. This is another reason I can'r recommend them.

RE: Maxtor sucks also
By Kim Leo on 8/17/2006 8:41:25 AM , Rating: 2
i deal with Maxtor Drives and samsung, we have no warranty problems, and never ever had a HDD that burned, and i have replaced several Seagate disks.. however WD have always worked for me, my first from mid 1999 still works, but at the moment Maxtor and Samsung are fine disks, personally ive had all(mostly Maxtor) and no problems with any.

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