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HDD makers prioritizing PC brand vendors

Posted on Thursday, November 03 2011 @ 22:20:00 CET by

Prices of HDDs in the retail channel market will likely increase even more as DigiTimes reports that HDD makers are reducing supply to retail channels to provide enough units to PC brand vendors. The site claims the Taiwanese retail channel will not be getting any HDDs from WD, Seagate and Samsung this month, and that channel supplies can only last until mid-November.
With expectations of a supply shortage, PC brand vendors and channel retailers are already competing to fill their hard drive inventories. Meanwhile, hard drive makers have also set up a strategy to reduce their supply to retail channels, preventing their brand clients from purchasing hard drives from retail channels, while also increasing their bargaining power over brand vendors over the next two quarters.

The increase in hard drive prices has also impacted consumer demand in the PC DIY market with sales of motherboards and processors being affected.



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