Good news storage fans, the motors are revving up again

Subject: General Tech, Storage | November 8, 2011 - 10:54 AM |
Tagged: thailand, nidec, hdd

While Western Digital is still nowhere near the point where they can think about cleaning up their factory and getting started on the road to recovery there is good news for other HDD manufacturers from Thailand.  Nidec, a company which provides about 75% of the global supply of motors for HDDs, also has quite a bit of their manufacturing capacity in Thailand, in the neighbourhood of 62% according to DigiTimes.  Two of their Thailand based plants are back in business and they are redistributing quite a bit of workload to their Philippines manufacturing plants, in the hopes of increasing the supply of these critical motors.

Seagate, Fujitsu and other major HDD manufacturers desperately need these parts in order to help meet the demand from the market before we can even think to see prices begin to return to previous levels.  This is not going to be a quick return since Western Digital and its subsidiaries accounted for about 50% of the HDD market and they have much more work to do in order to repair their factories than Nidec.

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"Nidec currently has 10 production bases in Thailand with eight of them have been damaged by the floods. As water started to recede, Nidec announced its Rangsit plants, which stopped operation on October 13, already resumed production on October 25, while Ayutthaya plants also started operating normally on November 4.

Nidec's two plants in Philippine will also see their monthly capacity rise from 15 million units originally to 25 million units with capacity in China plants also increase from 10 million units to 15 million units. However, the total capacity in the fourth quarter will still drop close to 30% from 140 million units in the third."

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Source: DigiTimes