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AMD CEO Says That There Are Enough Hard Drives

By - Source: Marketwatch | B 31 comments

Intel just warned investors that the hard drive shortage caused by the Thailand flood has impacted processor sales and will lead the company to report a revenue shortfall of about $1 billion in the fourth calendar quarter.

AMD, however, claims that the hit may be insignificant for its business. CEO Rory Read told Marketwatch that he does not see "major pressure in terms of the quarter." Read indicated that hard drive supply in the channel at the beginning of the quarter was healthy, which is in line with Intel's statements, but the blue team said that PC vendors are not ordering as many CPUs as they would in a normal circumstance.

Read conceded that there could be a stronger impact in Q1 or Q2 2012, but he "wouldn't bet against the supply chain," which he described as "very resilient." Read is confident that AMD can take back market share against Intel.

AMD has not issued a Q4 revenue warning and it appears that it is not seeing reasons to do so in the near future. The company will discuss its Q4 results on January 24 and recently scheduled its 2012 analyst day for February 2, which should bring more details how the hard drive shortage may or may not affect AMD's business. Analysts from IHS recently said that the overall hard drive supply will recover in the second half of next year, while IDC is more pessimistic and said that the effects of shortage may be around until 2013.

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Top Comments
  • 35 Hide
    surfer1337dude , December 16, 2011 12:18 AM
    To be honest I havent rlly seen anything from this "Hard drive shortage" other then stores jacking up prices the day anyone uttered the word shortage.
  • 30 Hide
    mangostea , December 15, 2011 11:19 PM
    Signs of price fixing? I think so.
  • 26 Hide
    A Bad Day , December 16, 2011 1:50 AM
    "Hey Bob, our profit margins are too low."

    "Well, a flood in Thailand just took out most of the HDD's manufacturing facilities."

    "Call up our competitors. Time for some, price adjustments..."
Other Comments
    Display all 31 comments.
  • 30 Hide
    mangostea , December 15, 2011 11:19 PM
    Signs of price fixing? I think so.
  • 35 Hide
    surfer1337dude , December 16, 2011 12:18 AM
    To be honest I havent rlly seen anything from this "Hard drive shortage" other then stores jacking up prices the day anyone uttered the word shortage.
  • 1 Hide
    Anonymous , December 16, 2011 12:54 AM
    There isn't a hard drive shortage if you compare it to the amount of successful Bulldozer chips being produced trolololol

    Really hope they get back on track in the PC business, even as the company shifts focuses now. If I could, I don't want to go with an Intel build when I find out what's new over the course of the next few months.

  • 0 Hide
    leon2006 , December 16, 2011 1:10 AM
    There's more than enough HD relative to what AMD can produce and sell... Which is miniscule compare to what Intel can produce and sell.
  • 19 Hide
    Anonymous , December 16, 2011 1:17 AM
    I went to my local hardware dealer's website and checked hard drives. I looked at three pages of hard drives and most had 100+ in storage. Those that didn't, said that more will come if ordered. Prices are same as always.

    Are these "hard drive shortage" and "prices go up" some american things?
  • 20 Hide
    CKKwan , December 16, 2011 1:36 AM
    AMD is probably trying to tell Intel - "Just admit your market share had dropped and stop blaming the HDD"
  • 11 Hide
    legacy7955 , December 16, 2011 1:38 AM
    I call "PRICE GOUGING"!

    These HDD makers better hope they are not caught !
  • 26 Hide
    A Bad Day , December 16, 2011 1:50 AM
    "Hey Bob, our profit margins are too low."

    "Well, a flood in Thailand just took out most of the HDD's manufacturing facilities."

    "Call up our competitors. Time for some, price adjustments..."
  • 9 Hide
    JeTJL , December 16, 2011 2:45 AM
    usedToLikeAMDDoesn't hit AMD as hard since they have a small fraction of the overall business. Plus nobody is clamoring for FX cpu PCs so they don't have to worry about hard drives for them.


    Went to one of my favorite computer stores recently. Couldn't Find the FX chips anywhere. Though there were quite a few Intel CPUs left.

    otacon72After Bulldozer I don't really believe too much coming out of AMD.


    What would AMD have to gain from lying that there isn't a Hard Drive Shortage?

    Also at the same computer store is a shelf full of Hard Drives there. So this announcement to me is a bit more credible.

  • 4 Hide
    Efrayim , December 16, 2011 4:00 AM
    I just looked on Newegg and almost all HDDs have dropped 20 or 30 dollars since the last time I looked....
  • -1 Hide
    cmcghee358 , December 16, 2011 4:09 AM
    It's pretty simple to see why Intel is saying the hard drive shortage will negatively impact their bottom line. Intel has a massive market share over AMD.

    Since AMD ships less CPUs to vendors(Dell, HP, Lenovo etc) the lack of HDD supply doesn't affect them as much as Intel which ships 3x more.
  • -4 Hide
    amk-aka-Phantom , December 16, 2011 5:38 AM
    Quote:
    AMD CEO Says That There Are Enough Hard Drives


    Cool story bro, in that case send me some! :D 
  • 7 Hide
    Anonymous , December 16, 2011 6:07 AM
    Intel investors need not worry. With Otellini in charge, Intel will probably just bribe and threaten manufacturers here and there.... Monopoly money will just roll in.
  • 3 Hide
    BulkZerker , December 16, 2011 6:26 AM
    Of course there's enough HDDS for AMD owners. Most people spend the price difference on a SSD.
  • 8 Hide
    giovanni86 , December 16, 2011 6:55 AM
    With the prices going up those HDD's won't be selling fast. Had 3 of my friends looking for a 1TB external drive for the price they were which was about $80 and now that there well above $100+ there not looking anymore. Its driving consumers away, good luck to them and there price hikes. We the consumers have not forgotten the old prices.
  • 4 Hide
    Anonymous , December 16, 2011 8:39 AM
    Ive resorted to buying External 1TB drives from Seagate and WD for £65, ripping the Drive out and throwing away the casings, because its cheaper than buying 1TB 3.5 drives themselves which are around £110 for the exact same green drives!

    IT IS PRICE FIXING! There is enough supply, no-one single line of HDD have been out of stock!
  • -6 Hide
    tlmck , December 16, 2011 8:49 AM
    Is this kid even out of diapers yet?
  • 1 Hide
    sonofliberty08 , December 16, 2011 10:13 AM
    i start to boycott hdd since their price jacking up till 100% and more insanely, get a cheap ssd for alternative
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