[ale] HDD prices to spike - flooding in Thailand

[Vernard Martin]

On 10/31/2011 01:14 PM, arxaaron wrote:
> On 2011/10/31, at 10:38 , Rich Faulkner wrote:
>
>> Don't know if any of you have been following this but the
>> flooding in Thailand has shutdown manufacturing of a
>> significant part of the HDD industry.  I'm seeing price spikes
>> on HDD's and indications are it's going to get worse.
>>    Street talk is that it may be May or June before Western
>> Digital recovers from the losses due to flooding:
>>
>> http://www.storagenewsletter.com/news/miscellaneous/thailand-floods-to-significant-impact-wd
>> Thailand Floods to Significantly Impact HDD Industry
>>
>> Prices in some cases have doubled already.  If you need
>> drives you better grab them before they're either gone or
>> too expensive to purchase...
>>
>> Rich in Lilburn
> Smells like a huge case of fear monger marketing to me
> (corporape amuika at it's shiny best...)
>
> The profiteering prices will only be gouging the gullible
> people who panic.  The smart money will just wait it out
> go back to buying hard drives after the fear inflated bubble
> has popped.
>
Actually, this is a standard response to supply and demand. If the 
demand is the same and the supply has gone down, then the prices are 
SUPPOSED to go up.

This is only really hurting the folks that do not have established 
contarcts for supply shipments. Places like Best Buy, small boutique 
hardware vendors and such are in trouble. The larger folks will have 
access to the smaller supply. THEIR prices won't change.

I know this because I have been pricing SANS and the bigger companies 
haven't changed their pricing, just their delivery dates (up to a week 
longer delivery delay since they have to ship stuff from different 
fulfillment depots). The smaller folks are screwed.

Vernard