HGST Debuts Ultrastar He10 10TB Helium-Filled Hard Drive

I bet you never thought you would live to see the day we had 10TB hard drives did you? Well, helium-filled hard drives have finally reached this point by creating the first 10TB hard drives that use conventional recording methods.

Western Digital subsidiary HGST has created the Ultrastar He10 which, interestingly enough, is not the first 10B helium drive. HGST created the first real 10TB hard drive back in the summer. However, this new drive is the only helium drive that has 10TB and uses perpendicular magnetic recording (PMR), the standard recording technology for hard drives over the last 10 years.

The first 10TB drive from HGST used shingled magnetic recording (SMR). SMR uses magnetic tracks that overlap to increase capacity. The downside here is that there is very little guard space between the tracks, which makes rewriting data much more difficult and longer as adjacent tracks may need to be rewritten as well. That is why SMR is better-suited for cold storage as opposed to routine recording.

PMR has some negatives too. The problem with PMR is that is is coming to the limits of its potential capacity. Regardless, HGST has pulled off something quite amazing by stuffing seven platters into a standard 1-inch drive. Helium drives from other companies, like Seagate, top out at 8TB. Both Seagate and HGST have been putting money into new technology known as heat-assisted magnetic recording, which allows for a much higher capacity and is better suited for everyday use though these hard drives won't start showing up until next year at the earliest.

Just like with the earlier helium drives from HGST, the Ultrastar He10 is being marketed at enterprise and server use and will have a price tag of around $800. Compared to air, helium isn't as dense which means that there will be less of a drag on the moving parts of the drive. This decreased friction when combined with hermetic seals that keep out contaminants and humidity allow these drives to run at cooler temperatures than a standard HDD. This will also reduce your energy costs. This makes them perfect for use in servers though the direct impact on consumers will be minimal. Regardless, the larger capacity could benefit the cloud services that we are relying on more and more.

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Western Digital Is Buying SanDisk For $19 Billion

Western Digital recently announced that it is buying up data storage vendor SanDisk for $19 billion in cash and stocks. This merger is coming at a time when the IT industry is evolving at breakneck speeds and companies are looking for new ways to get in on trends like wearable tech, the Internet of Things, and cloud computing. As a result, there has been a wave of mergers and acquisitions along with an increase of investment activity in the data storage market.

Western Digital's acquisition of SanDisk comes right after the market's biggest acquisition ever, when Dell purchased EMC for $67 billion. That deal hit news outlets last week and, in addition, storage semiconductor maker PMC-Sierra has also received a number of bids to take it over while Unisplendor, who is owned by China's Tsinghua, agreed to buy 15% of Western Digital for $3.78 billion. Western Digital focuses mainly on hard disk drives (HDD) though it is facing an evolution in IT that is pushing companies towards addressing a changing set of requirements for both client and enterprise end customers.

Enterprises no longer have to rely entirely on tape drives for backups and hard drives for primary data. However, the do have to deal with higher speed requirements that come with applications like online transaction processing and big data analytics. Solid-state drives (SSD) are a vital piece of multi-faceted storage infrastructures whereas flash memory devices simply sit under DRAM as top-tier storage. Western Digital and SanDisk are both based in California and they are both heavily involved in different segments of the consumer data storage market. Western Digital offers desktop NAS drives while SanDisk operates as a leader in flash-based thumb drives and memory expansion cards.

Earlier in the year, SanDisk, which is also known for its SSDs for desktops and laptops, announced its very first lineup of pocket-sized, high-capacity external drives. This buyout of SanDisk gives Western Digital an instant position in the global, non-volatile NAND flash memory market, according to Research Vice President of IDC Jeff Janukowicz. "Additionally, the NAND industry is at an infection point as it transitions from planar to 3D technology and access to that technology was a key piece of the deal," Janukowicz stated. "Now, WD is positioned to address a much larger footprint in the storage industry."

Western Digital noted during its announcement of the deal that the combination will "enable it to vertically integrate into NAND, securing long-term access to solid state technology at lower cost." SanDisk as 27 years of experience in the NAND flash memory industry and recently announced a deal with Toshiba to manufacture the world's densest 3D NAND, which is a 48-layer, 32GB chip that offers twice the capacity of the next densest memory. Also during the announcement Western Digital also noted the 15-year partnership between SanDisk and Toshiba and stated that it expects that relationship to be "ongoing". According to the company, "The joint venture provides stable NAND supply at scale through a time-tested business model and extends across NVM technologies such as 3D NAND."

According to Gregory Wong, an Analyst with Forward Insights, this deal between Western Digital and SanDisk will allow WD to enter the consumer SSD and enterprise SATA SSD market. "WD wants SanDisk for the access to the flash. Their PC HDD business is declining due to the weak PC market but also because SSDs are encroaching that space," Wong added. "Without access to NAND flash at cost, it would've increasingly been difficult to compete with NAND players in the enterprise space."

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Western Digital's Deal to Acquire Hitachi's HDD Business Approved

Western Digital has just secured conditional approval from the European Union's competition regulator to purchase Hitachi's hard disk drive business for a grand total of $4.3 billion. This was only made possible, however, after Western Digital agreed to sell several of its production operations.

Western Digital, which just so happens to be the world's second largest competitor in the hard disk drive (HDD) sector, and Hitachi, which just so happens to be the third largest, unveiled the deal back in March. The deal itself is aimed at giving the United States company a competitive edge in developing next-generation information storage technology.

This decision by the European Commission confirmed a story published last week by Reuters. According to European Union Commissioner Joaquin Almunia in a recent statement, "The proposed divestiture will ensure that competition in the industry is fully restored before the merger is implemented."

Western Digital did promise to sell essential production assets for the manufacturer of 3.5" disc drives, including a production plant, according to the Commission, which cited reduced competition in the sector after Seagate Technology bought Samsung Electronics' hard disk drive business recently. In addition to that the company agreed to transfer or license intellectual property rights to the business to be sold off. What's more is that Western Digital will also transfer staff and the supply of HDD components to the unit.

Western Digital is unable to complete the deal until it finds an appropriate buyer for the unit, which will then need to be approved by the regulator, according to the commission. If Western Digital is unable to find a suitable buyer, it stands to reason that this deal, although approved, will never actually come to fruition, which could be disappointing for both companies.

Source: Reuters - Western Digital cleared to buy Hitachi disk drive business

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HDD Shortages to Spill Over into Q1 2012

Considering operations are disrupted at over a dozen hard disk drive (HDD) factories thanks to flooding in Thailand, PC manufacturers should begin preparing for significant supply shortages according to market research firm IDC. Worldwide HDD shipments could suffer almost a 20% decline starting in the middle of this month that could extend far into the first quarter of 2012 according to the firm.

Thailand accounts for somewhere between 40% and 45% of HDD production in the entire world. As of early November, almost half of Thailand's production was directly affected by flooding. Even though production at some factories was halted as a result of flooding, the industry also faces work stoppages due to poor access and power outages. The full extent of the damage to the industry will not be known until all the floodwaters recede, even though it is already clear that there will be supply shortages into the first quarter of 2012 according to IDC.

Research Vice President at IDC John Rydning stated earlier in the month that hard drive manufacturers will favor their high-margin products used in enterprise servers and storage systems. "But the HDD vendors can't neglect their smaller customers, whose business will continue to be important once capacity is fully restored." Prices for HDDs have already started to increase rapidly in some cases, some by more than 30%.

IDC noted that the industry should be able to restore drive production quickly once the waters recede, though today's shortages will continue to constrain supply for an extended period. Hard drive prices should stabilize by next June, according to IDC, and the industry should be back to normal by the second half of 2012. IDC also says that the decline in total shipments for the fourth quarter is expected to be "less than 10%" due to the fact that a large chunk of PC shipments have already taken place for this quarter.

Worst-case scenarios put the total loss for the first quarter of 2012 at around 20% though IDC said that there are opportunities for larger PC vendors to capture enterprise accounts from smaller competitors and accelerate industry consolidation, more specifically in faster growth markets.

According to Program Vice President for IDC's Worldwide Consumer Device Trackers Loren Loverade, "The HDD shortage will affect smaller PC vendors and lower-priced products most, including mini-notebooks, emerging markets and entry-level consumer PCs. However, even the largest vendors are expected to face HDD shortages, particularly for portable PCs where the market is more consolidated. Nevertheless, the shortage will relieve some pressure on pricing and margins and present some opportunities for strategic share gains among the larger players."

Source: Computer World - PC makers should 'brace' for drive shortages

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