Capacity Seagate sees expansion in a way that is quite smart. It's going to take the HDDs they have while working on long term SSD markets. Beyond this; they can make storage arrays, racks and anything else that competitors make (HP (Hates People), EMC(Evil Machine Corporation), NetApp(NetCrap), Dell and others); and then can sell it at a cheaper cost. This is a huge margin for profits in a lot of ways. This allows the company both both manufacture and make everything from start to finish (like Samsung) to then offer a product at a similar or less cost than a competitor while having higher profits. In comparison, EMC/NetApp and others buy all Seagate products (like Xyratex and HDDs) and then have a huge markup. Paying 50-100 dollars for a HDD then charging 4k to 5k per HDD is a huge markup. This is enterprise storage and Seagate can make it all and sell it to customers. Companies like Apple, Google, Amazon, Netflix make their own operating systems for data redundancies. In this case, future capacity is driven by large amounts of data but more about cost. The rise of JBODs is a factor which drives costs down (this is further realized by Microsoft Server having the ability to map any storage and make data redundant across all of the other locations making RAID pointless - like ReFS). The fact that long term technolotgy is changing is a realization for everyone. Samsung's ahead of the curve with 3D SSDs. Samsung made a 16 TB SSD; going to be super expensive but blows capacity capabilities of HDDs away. This is the future and Seagate realizes that other long term solutions need to be a factor. In this same case; data forcasters and others are idiots! They don't know how much Seagate makes from HDDs as a total and make stuff up. Besides EVault (which is a profitable cloud service); Xyratex (which makes enterprise=profitable business) and others; the future is SSDs for manufacturing but HDDs becoming more akin to Tape; it can last long term but is being replaced by a newer tech. Seagate will diversify and survive. The real worry is for competitors (like EMC/NetApp) who buy our hardware and sell a huge markup that end customers are seeing no need to pay for. Yes it's crazy times but look at the total percentages and the company; tons of companies have had layoffs and buybacks this year (which is very widespread). To everyone else who is leaving; I wish you a great career and off to better and higher paying salaries. To existing Seagate or new people under this company: stay current and up to date like a mercenary and if worse comes to worse; your resume will be ready and you'll have jobs in a few weeks flat (by having searches/subscriptions to apply for new jobs). Side note: if they bring in Indian teams to replace you; you can make all internal information hidden then have site wars! Throwing them under the bus and never training them...
2 replies (most recent on top)
also worthy of taking into account that :
HP (seagate customer, Xyratex customer)
EMC (seagate customer, Xy customer)
Net App (customer)
Seagate has been trying to make a go of the evault business for 10 years and a "partner" (and fails continuously)
Seagate has been podium pounding the the hard drive is not going away....
Yet it is.
They NEED to grab product from other places because they have been laser focused on pumping out HDD's and watching the rest of the industry change, they have accumulated enough profit to buy survival as a brand name------ like a drowning person grabs at anything to save them selves and will often even harm their rescuers to stay above water---- Seagate is drowning--- along with the makers of all storage at this time because it is tissue paper--- who cares if it's Kleenex, or Walmart brand?
use and dispose, replenish at LOW COST.
"Side note: if they bring in Indian teams to replace you; you can make all internal information hidden then have site wars! Throwing them under the bus and never training them..."
now that is what you do! compromise your morals and integrity-- OH WAIT!!!! that IS the Seagate way--------- carry on!