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Intel Data Storage The Almighty Buck Hardware

Intel Revenue Dives $1bn On Hard Disk Shortage 198

nk497 writes "The hard disk shortage caused by the flooding in Thailand will cost Intel $1 billion in lost revenue, the company said. It had initially predicted revenue of $14.7bn this quarter, but that will now be $13.7bn, it said. 'Sales of personal computers are expected to be up sequentially in the fourth quarter,' Intel said. 'However, the worldwide PC supply chain is reducing inventories and microprocessor purchases as a result of hard disk drive supply shortages.'"
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Intel Revenue Dives $1bn On Hard Disk Shortage

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  • SSD (Score:5, Insightful)

    by Anonymous Coward on Monday December 12, 2011 @02:20PM (#38345352)

    The perfect time for Intel to push SSDs?

    • Re: (Score:3, Informative)

      by Anonymous Coward

      I just purchased one. I was planning on buying a HDD until prices went up. Then saw a deal on an Intel 320 series 120gb that seemed decent, plus I'd been wanting to try one. They were running a nice rebate not long ago. I haven't regretted it (yet), and I've noticed a major difference in boot time.

    • Re:SSD (Score:5, Insightful)

      by Grishnakh ( 216268 ) on Monday December 12, 2011 @02:31PM (#38345456)

      Sure, as soon as they come up with $100 1TB SSDs.

      SSDs are fine for OS disks and applications, but for anything requiring serious data storage, they're just too small and expensive. Lots of people these days use their computers for storing and watching movies; you need terabyte hard drives for that.

      • by tepples ( 727027 )
        I thought most people streamed movies as video on demand over the Internet instead of buying a permanent download.
        • by gorzek ( 647352 )

          Some people (like me) do both. There are some things I want to stream. Other things, I'd like to have a copy around to watch whenever I want, including when I'm offline. Movies and TV shows are not all created equal.

          • Re:SSD (Score:4, Informative)

            by Grishnakh ( 216268 ) on Monday December 12, 2011 @02:45PM (#38345662)

            Exactly. Plus, streamed movies have crap quality because of the extreme compression used. For many things, it's sufficient, but if you want to watch BBC's Life movies, for instance, it's definitely not.

            • My Netflix 720p instant watch movies streamed over to my WD Live Hub look pretty glorious on my 70" LED Samsung TV. I wouldn't call that "crap" quality.

      • Re:SSD (Score:5, Insightful)

        by jedidiah ( 1196 ) on Monday December 12, 2011 @02:37PM (#38345526) Homepage

        The real problem here is that there is a large gap between what the two types of drives (cheaply) hold and"normal users" are likely to fall somewhere in between.

        You don't need to be a video hoarder to run out of space on a smaller drive. You just need to use your machine for more than a web terminal. If you are a producer or consumer of anything, all of the stuff together will likely exceed the capacity of a smaller SSD drive.

        It's not just one thing but a combination of things that could push you over the rather meagre 120G you are likely to find on a cheap-enough SSD.

        Beyond that, things tend to get expensive quick.

        At that point, an oversized and somewhat overpriced HDD is still cheaper.

        • The real problem here is that there is a large gap between what the two types of drives (cheaply) hold and"normal users" are likely to fall somewhere in between.

          Quoted for truth.

          I have many friends who could possibly do with just 60GB; but I also have a lot of friends who have 100GB+ of baby photos and movies. How smart would it be to suggest a SSD to one of my friends knowing that it may be a matter of short while before they too are filling their tiny SSD with baby photos?

          Suggesting anything less than 160GB for a friend seems like taking a gamble, unless I know a lot about their usage patterns.

      • SSDs came long long after 1 tera hard disks, so no ssd prices won't drop as a result of this, not by much more than they are already declining anyways. I'd just assume everybody ALREADY HAS their spinning disk storage solution, and if not your timing makes you unlucky unless you can hold off, the prices really are bs right now.

        • by ackthpt ( 218170 )

          SSDs came long long after 1 tera hard disks, so no ssd prices won't drop as a result of this, not by much more than they are already declining anyways. I'd just assume everybody ALREADY HAS their spinning disk storage solution, and if not your timing makes you unlucky unless you can hold off, the prices really are bs right now.

          I'm waiting to see how well SSDs hold up. Probably a couple years before I buy a large one. I've had some poor luck with high density non-volatile memory and am interested in the durability and reliability of SSDs.

          • by jon3k ( 691256 )
            So far so good, I've still got original OCZ Vertex MLC drives ticking along just great. I think a lot depends on what kind of life expectancy you need out of a drive. Typically I was replacing desktop HDDs every 3-5 years which, for even a "power user" at home, is a fraction of the lifespan of an SSD. After putting an SSD in one computer I was hooked, the difference is just crazy. If you're trying to decide whether or not to spend another $100 to upgrade the CPU in a new computer build, just replace the
        • Uhhh...Tiger is selling a 1Tb Seagate for like $60, I'm sure you can find the link on sellout.woot if you didn't get the email. While that isn't as cheap as the $35 I paid for a 1Tb Samsung frankly that isn't THAT bad a price, hell the 1.5Tb was like $99,its not gonna break the bank.
          • Wow, I haven't been to woot in ages, I've been using techbargains for the longest time, I am thinking of newegg however when I think of the hdd costs since the flooding crisis. And of course you do realize on a hdd you have to factor a lot more (well not A LOT) than storage = money (ex. wd green, wd blue, wd black).

      • by jon3k ( 691256 )
        I didn't spend all this money on a SAN to have users storing files on local hard disks. Small, fast, quiet, low-power, low-heat disks for the desktop and a combination of fast/slow on the network storage system to store files. The reality is manufacturers stuff 500GB HDD down our throats for desktop computers, when I could just as easily get a 50GB SSD for the same price, which is more storage than any of my workstations need (disclaimer: healthcare).
        • Maybe for your environment, SSDs and a SAN makes sense. Not everyone has the same environment: home users with desktops, and developers at smaller companies (places that don't have SANs), for instance, need lots of space. Yes, for a big company with a well setup IT department with centralized storage, you really don't need a big HD on each desktop, but lots of places aren't like that. In fact, at the large companies I've worked at (including Intel), they didn't have SANs either (or at least not set up pr

          • by jon3k ( 691256 )
            Sure, I absolutely agree with you. I'm just making the counterpoint to the parent post. Not everyone needs massive slow hard drives, especially in a typical business environment. I can't imagine why our accountants need the standard 300+ GB HDDs in their workstations. The only reason they have them is because it's the smallest drive that's being manufactured anymore. Never once have I had an anyone in operations, accounting, or HR or any clinician (or anyone I can think of, ever) ask for more local sto
    • They offered some major, like $100+, rebates recently. However even so, they are still pricey. SSDs are coming down in price, but for most users they are still too much money. While most people don't need the multi-TB drives they can get these days, they also can't function very well with a tiny 80GB SSD. Somewhere in the 200-500GB range is probably what most people need. At that size, they are still pretty expensive.

      Eventually I'm sure SSDs will take over, though it make take a new technology (as in someth

  • Well, who would have foreseen this?!? Aside about 10,000 slashdotters, that is.

    Planning to build some heavy lifting workstations, have them all spec'd out and all, but everything is on hold until the price on 3TB drives comes back down.

    Really sad, too, as I believe Windows CHKDSK corrupted one of my older drives with it's half-arsed attempt to clean it. Anyone know of a good tool to try recovering directory structure and data?

    • [] (For linux, but you can do some NTFS recovery as well. Not for anyone who hates command line) [] Windows oriented but has some Linux stuff in it too.

      • Trying to do NTFS recovery from linux has NEVER ended well for me, unless it involved backing data up with ddrescue. Stick with Microsoft's tools, theres a reason so few (if any?) linux tools are capable of dealing with NTFS corruption. Plug the drive into a second computer and do chkdsk /v /f /r on it, in my experience it is VERY unlikely that it will not make things better (if at all possible).

    • A little scary for us, as we have precisely one 1TB drive on the shelf right now. One of our notebooks had its drive go south, and I had to rob an old 80gb from a dead notebook. Still, I'm holding out. I don't particularly feel like paying three times or more what they were worth a few months ago.

      I'm hopefully going to get some budget for some custom routers and I'll be going with SSDs so my next project won't be impacted.

  • by jedidiah ( 1196 ) on Monday December 12, 2011 @02:43PM (#38345634) Homepage

    The loss seems all big and impressive and such until you actually bother to look at both numbers and realize that it really isn't so bad after all. What this really goes to show just how BIG the PC business is and how a relatively small setback can be portrayed as this dire tragedy.

    • by Hadlock ( 143607 )

      What part of "7% revenue drop" isn't impressive? We're discussing an industry whose stock prices fluctuate 2-5% based on missing revenue projections by a tenth of a percent.

  • by mandark1967 ( 630856 ) on Monday December 12, 2011 @02:45PM (#38345654) Homepage Journal

    I tried to order a Seagate Barracuda SATA 6GB 3TB Drive and Newegg and they wanted $400. I ended up buying two Seagate Expansion USB 2.0 3TB Drives for $199 each and I removed the Seagate Barracuda SATA 6GB 3TB Drives from the enclosures and saved $400 on my total order.

  • Take advantage (Score:3, Insightful)

    by 1080bogus ( 1015303 ) on Monday December 12, 2011 @02:51PM (#38345730)

    IMHO: I'm surprised that SSD manufacturers are not taking advantage of the HDD shortage and giving deals left and right. Intel could profit greatly right now lowering their SSD prices just slightly. PC manufacturers will benefit by selling computers and the end user will get that "speedy" system for only a slight increase in price. The higher price will definitely pay for itself considering the boot and operating speed of a SSD over HDD. Granted that's with the consideration you didn't buy a system with 1GB of memory and a Celeron proc running Win7.

    Obviously anyone looking for large capacity drives is still SOL. I know some local stores in the area are still selling drives for reasonable prices until they run out. I doubt they'll bother to stock some or any at all after that. I'm sure they don't want to be left holding $2-300 drives that will be selling for at least half that a couple months from now.

    On another note, who had the bright idea of creating a single point of failure? I wonder if WD, Seagate, etc setup their networks all with single points of failure. I understand it's cheaper but if you can't make drives, you're not making money.

    • unless lowering their profit margins "just slightly" makes it non-profitable
      • by pz ( 113803 )

        unless lowering their profit margins "just slightly" makes it non-profitable

        Given the opportunities that the current market presents, it is in the SSD industry's best interest to take a hit on profit today to secure larger market share tomorrow. Even more so for an single player to gain a long-term competitive advantage over its peers. Regrettably, as we all know, public US companies have a 3-month horizon making strategies that sacrifice short-term profits for long-term gains extremely difficult to implement.

        • To me it seems there isn't really separate ssd and "traditional" hard drive markets competing for each other. They're both in the storage market.
          To do the auto-analogy: Selling sports cars at a loss to increase the share of sports cars on the road isn't going to do much for the long term share of sports cars. People will still buy the type of car that meets their criteria: Price, practicality, ego/car-peen. A temporary reduction in price will mean a temporary increase in sales.

          There are other industries

          • by Kjella ( 173770 )

            If you assume everything's going to go back to the way it was, then yes. But you assume people aren't creatures of habit and will always to a proper evaluation of the alternatives, particularly a SSD they've never tried. Right now they have an opprtunity to say "Hey SSDs are expensive but HDDs are expensive now too. So why not try an SSD?" and chances are they'll like it. You have to believe that in a few years SSDs will be big enough and cheap enough for "most people" and that this will accelerate that tra

    • by pz ( 113803 )

      When flooding takes out an entire geographical region, it's hard to think of that as single point of failure, no?

  • by Beelzebud ( 1361137 ) on Monday December 12, 2011 @02:59PM (#38345822)
    Good thing we can't make hard drives any where else in the world! I love globalization. I don't know anyone in the states that could be trusted to work at a plant making hard drives. They'd expect to be able to pay for food, shelter, and clothing, and we can't have that!
  • If you can't do, report: you're smart enough to s/loses/dives but not smart enough to s/dives/forestalls.

    Now the reader who ordinarily fails to distinguish "dives" from "loses" as processed through the filter of law-of-the-jungle public-company quarterly reporting intervals will fail to notice the giant Bill Gates reality-distortion-apparatus strapped to face.

  • (re)location (Score:4, Insightful)

    by Corson ( 746347 ) on Monday December 12, 2011 @03:42PM (#38346362)
    Perhaps Intel should not put all their eggs (hard drives) in one basket (Asia)?
  • So how does this bode for the cloud computing services? Rather than try to buy another external backup drive, I'm now looking more seriously into the cloud for those needs myself.

  • I was in my local CompUSA store over the weekend. Microsoft is offering a $20 rebate on Windows Home if you buy it from Tiger Direct or CompUSA by 12/15/2011. Since I'm in the middle of putting together a new computer I went to pick up a copy. You have to buy some hunk of PC hardware at the same time as the OS if you want the rebate, so I looked at their hard drive selection expecting to not see much because of the 'shortage'. Well they had a TON of Seagate and WD drives in 250GB, 320GB, 500GB, 1TB and

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