Hard Drives Going into Extreme Shortage – Wholesale Prices Double in 3 Days

  • Comments: 14
  • Written on: November 1st, 2011

Just in time for the holiday season the recent Thailand monsoon is threatening the stability of notebook and laptop prices.

Some parts of Thailand received as much as 140% of their seasonal Monsoon rainfall in a matter of hours.  40% of the world’s hard drives are produced in Thailand, and the massive flooding conditions are making this spring’s Missouri river flooding look like a kiddie pool.  Think Katrina only across an entire country.

Extreme Shortages Coming

Analysts expect hard drives to go into extreme shortage almost immediately.  Western Digital will bear the brunt of the blow.  Company executives are reporting they expect a 60% decline in their sales due to production shortages.  All of their Thailand factories were flooded.

Seagate’s factories were spared, but their component supplies were not.

Online retailer Tiger Direct currently has no hard drives at all available for order at any price.  Their competitor, Newegg has remaining inventory thanks in large part to establishing strict quantity limitations of one drive per customer per 48 hour period.

Computer Makers to Run Out of Drives by end of November

Even PC maker Asusteq is reporting that it will run out of desktop and laptop hard drives entirely by the end of November.

This situation is posing a unique challenge for OEM computer makers, including Schrock Innovations.

In fact, Schrock Innovations is incurring strict quantity limitations and lack of availability on many hard drives used in our Modular computers.

In response we have been buying every hard drive we can get our hands on as news pours in that shortages will be with us through at least March of 2012 and as long as December of 2012.

  1. p90x said on November 3rd, 2011 at 3:08 am

    I saw the hard drive prices go way up right when I was planning to buy one. I guess I will have to wait awhile before prices come back down if what you heard is true and we have to wait until Dec 2012 at the worst 🙁

    – Robert

  2. AChuah said on November 6th, 2011 at 5:52 pm

    Thats unbelievable!
    december 2012?!?! That sounds pretty drastic.
    But it should be okay, many other companies manufacture their own hard-drives, right?


  3. mmmok said on November 8th, 2011 at 2:25 pm

    They will stretch this out as long as possible. Since they will be making big profits for a drive that sold for 80.00 USD, now selling for double that price. Even if factories get back online, the new price set will be here for a long time!

  4. p90x said on November 8th, 2011 at 2:58 pm

    I’m just glad I bought a 2 TB drive before the prices went up. Thanks again for the news Thor.

    – Robert

  5. Ways To Work At Home said on November 9th, 2011 at 9:50 am

    I’m seeing prices nearly double already. Goes to show how dependent we are on other nations for so many items.

  6. Radu said on November 11th, 2011 at 8:07 pm

    I am really happy that i bought my HDD before the prices going up.. it was quite a bargain.

  7. portabadge said on November 13th, 2011 at 2:11 pm

    Luckily I got my hands on a 1TB drive a few weeks ago with a great discount price.
    A bit hard to believe in a extreme shortages coming, though.

  8. gold equipment said on November 13th, 2011 at 11:41 pm

    The flood make all this things so hard,prices are up,peoples are dieing by flood everything is affected by this flood..So that the prices of the Hard Drives..

  9. Robb said on November 17th, 2011 at 12:38 pm

    So are you chartering a plane Denver san memory shortage. Great story from podnutz. Excellent blog

  10. used tires said on November 23rd, 2011 at 1:51 am

    This is not good news as I was planning to buy some hard drives in a few weeks time. At first I couldn’t believe it since you wouldn’t think that that region alone is responsible for most of the world’s hard drive supply.


  11. used tires said on December 14th, 2011 at 6:10 am

    I was quite surprised to learn that such a huge percentage of the world’s hard drive supply came from the flood-stricken regions. Now I am hearing that even after the factories are up and running, the prices will continue to stay high for a few months afterward. I had planned to get more storage for the coming months but now I guess I’ll have to make do with what I have as it is hard to justify paying the current prices.


  12. Arnab said on December 16th, 2011 at 5:12 am

    I just got a 2TB external hard disk before the prices rose, but the news about things being normal by Dec 2012 is alarming! I was planning to get my new MAC and I am sure the prices will go up for the same as well 🙁

  13. Brand Name Distributors said on December 21st, 2011 at 2:48 pm

    I’m not surprised at all, what isn’t going up in price nowadays.

  14. it support said on January 6th, 2012 at 4:21 am

    I personally own 12 hard drives and i’m into buy and sell pf external hard drives. The major reason for this shortage and doubling up of price is the flooding in Thailand. Western Digital and Seagate which are top 2 manufacturers of hard drives have manufacturing plants in Thailand which were affected by the flooding. Their operation have stopped and the supply of hard drives in world market have decreased which causes the prices go up.

What do you think? Join the discussion...

How do I change my avatar?

Go to gravatar.com and upload your preferred avatar.

Subscribe to My RSS Feed

Subscribe Form Click to Subscribe or

      TwitterCounter for @thorschrock

Ed Wunder Loves Schrock's Service

Popular Posts

Top Commentators

Schrock Innovations' New Ride

Revolution Wraps Rocks!

Geek Squad Hires Anyone!

Other Recent Videos

We're on the Morning Blend answering your Lincoln Nebraska computer repair questions regarding warranties

Need your computer repaired in Omaha? If you're never visited Schrock Innovations before (1st time client), stop by for a FREE hour of repair

Our Open Adoption

    Kim and I are seeking to adopt another child through Open Adoption. If you know of a birth mother seeking a stable, loving family in Nebraska, please direct her to our website at nebraskaopenadoption.com.

Thor's Sponsors

© Thor Schrock 2009