Thailand flooding slows hard drive production


— 12:44 PM on October 17, 2011

A rather large portion of Thailand is under water right now due to flooding fueled by torrential rain. The hard drive industry has been hit by the flooding, and DigiTimes' sources claim that supply could be constrained for the next six weeks. Seagate and Western Digital have also weighed in with official statements, and they don't sound too optimistic.

Western Digital says that flood waters have inundated one if its Thailand facilities and are threatening another. Combined with the effect of flooding on its supply chain in the country, WD expects a "significant impact" on its ability to meet demand this quarter. More details will be provided in a conference call on Wednesday.

Seagate also faces a disruption to its business. In a press release last week, the company affirmed that all its Thailand facilities were operational. However, it also said that production would be constrained due to disruptions in the supply chain. A conference call is scheduled for Thursday to provide updates on the situation.

Cheap hard drives are a staple of our weekly deals posts, and I'm curious to see whether the Thailand flooding will affect prices stateside. More than a third of the country's provinces are classified as "critical" right now, and the total damage has been estimated at nearly $4 billion.

   
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