HDD and ODD Revenue was restored in 2010

May 8, 2010

Hardware News – Industry revenue HDD (hard disk drive) and ODD (optical disk drive) is expected to begin restoring global in 2010, after a sharp fall in 2009 due to blow the world financial crisis. Research firm iSuppli Corp. revealed, the main driver of HDD and ODD market recovery is strengthening markets PC (personal computer).

“Recovery of the world economy in 2010 increased the volume of global PC sales. Thanks to the increase in PC sales volume, sales volume of HDD and ODD will increase rapidly. As a result, the income of producers of HDD and ODD were also rising,” said iSuppli Corp. Analyst Storage Systems Fang Zhang.

iSuppli explains, the global HDD revenue in 2009 fell 11.7 percent to USD 23, 4 billion. At the same time, revenues decreased 6.3 percent of global ODD to USD13, 7 billion. Once the economy improves and demand for PCs increased in 2010, iSuppli believes the HDD and ODD global revenues would be fueled up. Based on iSuppli estimates, the global HDD revenue in 2010 will increase 18.4 percent to USD27, 7 billion. Meanwhile, iSuppli added, global ODD revenue will increase 7.6 percent to USD14, 8 billion. iSuppli growing HDD market rate is more dynamic than ODD because consumers need more than ODD HDD.

iSuppli reveals, the global HDD sales volume in 2010 will soar high because consumers do not just buy an internal HDD, which is embedded in the PC, but also the external HDD.

iSuppli explains, external HDD sales volume this year will rise because the consumers require data storage capacity is greater. The main buyers of external HDD, called iSuppli, is a netbook users. iSuppli presents, netbook users racing to buy an external HDD because the internal HDD to the notebook has a capacity too small. Based on the observation of iSuppli, a first-generation netbooks market in 2008 has an average capacity of 40 GB HDD. Manufacturer netbook then increase that capacity to 80 GB and 160 GB at 2009. However, iSuppli confirms that capacity is still too small for some consumers, especially those who like to store music and video files.

To obtain additional capacity, consumers must buy an external HDD. With the support of an external HDD, iSuppli said netbook users can enjoy up to 1000 GB of storage capacity, aka 1 TB. Despite promising growth in the HDD market, iSuppli confirms the industry would remain controlled by two major players at the moment, namely Seagate Technology LLC as the world’s largest HDD manufacturers and producers of the world’s second largest HDD Western Digital (WD) Corp.. Because the two giant HDD equally strong, iSuppli predicts rivalry between them will become even more fierce this year.

iSuppli explains, Seagate still dominate the global HDD market in the fourth quarter (October to December) in 2009, with global market share of around 31 percent. In that period, Seagate is able to sell approximately 49.9 million units globally HDD. While on the income side, Seagate can reap USD3, 03 billion. As a result, the income share of Seagate HDD was mastered by 34 percent globally. At that Seagate is able reach a global hard drive sales volume growth of 8 percent per quarter, while Seagate’s revenue increased 14 percent per quarter. At the same time, WD was able to sell approximately 49.5 million units globally HDD, up 12 percent per quarter.

Thanks to the strong performance, the WD is able to increase that to 30 per cent share in the global HDD market, aka only 1 percent of Seagate’s quarrel. WD achieved rapid growth did not occur only on the volume of sales, but also revenue. iSuppli asserted, in the fourth quarter 2009 revenues WD able to reap $ 2, 57 billion, aka rose 19 percent on a quarterly basis. That way, the WD has been able to increase the share of revenue to 30 percent of the global HDD.
“Many observers surprised to see Seagate able to maintain its dominance in the fourth quarter 2009. It was unfortunate also not been able to subvert Seagate WD, for the fourth quarter of 2009 WD able to achieve very strong performance,” said Fang.

In 2009, the global HDD sales volume fell 2 percent to 549.5 million units due to blow economy.Tetapi crisis in 2010, world economic conditions began to improve. Therefore, iSuppli estimates that global HDD sales volume will increase dramatically to 2010 amounted to 22.8 per cent to 674.5 million units.


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