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Seagate Joins the HDD Price Hike Party, Blames AI for Spike in Demand


Seagate has joined Western Digital in increasing the prices of hard drives, with rising demand due to the huge data requirements of AI taking the blame. AI is also behind a rapid growth in orders for Enterprise solid state drives. From a report: One of the big three makers of traditional rotating ha...

Seagate has joined Western Digital in increasing the prices of hard drives, with rising demand due to the huge data requirements of AI taking the blame. According to Trendforce, the cause of the issue is two-fold: rising demand for high-capacity HDD products driven by the current craze for all things AI, and reduced production by hard drive manufacturers that means they are unable to meet the demand, leading to soaring prices. Hard drive production was cut by as much as 20 percent over the last two years or so because of falling orders during the pandemic, and now manufacturers are unprepared for a sudden uptick in demand.

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