Home IDC: Thai Floods Create a New Opportunity for Solid State Storage

IDC: Thai Floods Create a New Opportunity for Solid State Storage

The world’s supply of hard disk drives has fallen dramatically after devastating floods in Thailand killed over 800 people, and brought parts of the country’s economy to a standstill. But while flood waters recede slowly, they are still receding. The country’s energy ministry today projected a spike in energy demand, as its industry will need more energy than normal to regain its healthy growth rate from before November.

Western Digital is already back in production in Bang Pa-In, once the summer palace of Thailand’s kings. But until the country’s industry is completely back on its feet, the price of hard drives worldwide may remain unseasonably high. Amazon price tracking data for a 2 TB WD Caviar SATA III drive that sold for as low as $134.99 last September, sells for $210.88 today after peaking at $269.99 around Black Friday.

While the world looks for bright spots from the Thai flooding story, analyst firm IDC believes it may have found one: Shipments of solid state disks – flash memory-based components whose largest contributing manufacturing country is China – are expected to have risen by 74% for the year 2011, well ahead of the 54% compound annual growth rate (CAGR) the firm had predicted.

IDC now expects the final tally for 2011 to show 25.5 million solid state drive units shipped, compared to just 14.7 million for 2010. This could also actually have a positive impact on the burgeoning ultrabook form factor, championed by Intel and spotlighted this week at CES 2012. Increased availability of SSDs could help bring list prices down for premium model ultrabooks going into the first half of the year, especially those that use Windows 8 – which analysts expect to have improved SSD performance over Windows 7.

“IDC believes the net effect of these dynamics on the PC market, coupled with SSD pricing – which is expected to be below $1 per gigabyte in the second half of 2012 – supports increased SSD shipments that are more richly configured with higher capacity SSDs compared with IDC’s previous forecast,” reads a statement provided by IDC to ReadWriteWeb this afternoon. The firm is adjusting its projected compound growth rate for SSDs going forward, with shipments expected to rise at 51.5% CAGR from the current, elevated levels.

About ReadWrite’s Editorial Process

The ReadWrite Editorial policy involves closely monitoring the tech industry for major developments, new product launches, AI breakthroughs, video game releases and other newsworthy events. Editors assign relevant stories to staff writers or freelance contributors with expertise in each particular topic area. Before publication, articles go through a rigorous round of editing for accuracy, clarity, and to ensure adherence to ReadWrite's style guidelines.

Get the biggest tech headlines of the day delivered to your inbox

    By signing up, you agree to our Terms and Privacy Policy. Unsubscribe anytime.

    Tech News

    Explore the latest in tech with our Tech News. We cut through the noise for concise, relevant updates, keeping you informed about the rapidly evolving tech landscape with curated content that separates signal from noise.

    In-Depth Tech Stories

    Explore tech impact in In-Depth Stories. Narrative data journalism offers comprehensive analyses, revealing stories behind data. Understand industry trends for a deeper perspective on tech's intricate relationships with society.

    Expert Reviews

    Empower decisions with Expert Reviews, merging industry expertise and insightful analysis. Delve into tech intricacies, get the best deals, and stay ahead with our trustworthy guide to navigating the ever-changing tech market.