Components under threat

Following the news last week that flooding in Thailand was affecting production at a number of storage vendors’ facilities in the region, the situation could now be taking a further turn for the worse, with Seagate’s components business under water.

Explains Dave Stevinson from distributor VIP Computers: “Yesterday, Seagate informed us that their factories are not affected by the flooding and that they can build. However, the issue is that the components needed to build the drives have gone into shortage, with a factory actually under water. Seagate are having daily calls on the situation and have been told that they will go into allocation this quarter.”

Seagate have confirmed that all programmes have been suspended worldwide for this quarter. 

“This is a blow to the channel and the natural effect of a supply shortage will lead to a price increase,” warns Stevinson.

Thailand floods cause HDD shortage