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November 2, 2011

Thai flood to hit hard disk production this year end

Western Digital is the worst affected hard disk producer

By CBR Staff Writer

The floods in Thailand are set to affect the hard disk production in the last three months of this year, though some big Thai producers are planning to open their flood-hit factories by December to calm the production woos.

The floods have affected many big firms such as Western Digital (WD), Toshiba, Hitachi GST, Seagate and Samsung, out of which WD is the worst affected disk producer; and damaged a total of 14,000 factories in the country, reported BBC News citing IHS iSuppli report.

According to the report, Western Digital may see a drop of up to 59% in shipments over the current quarter, resulting to a loss of $269m during the period.

The IHS iSupply report said the hard disk prices will rise by 10% between October and December due to the supply disruption, and will affect most to PC makers Apple and Hewlett Packard.

The report added that enterprise customers, such as Google or storage firm EMC will have no impact as they maintain larger disk inventory, and their key suppliers Seagate and Hitachi GST are less affected compared to WD.

The floods have also affected camera makers such as Canon, Nikon and Sony, as well as nternational carmakers and computer chip manufacturers.

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