Shulou(Shulou.com)11/24 Report--

CTOnews.com9 March 1 news, with the decline in solid-state disk prices and the shrinking PC market, mechanical hard drive sales have been declining in the near future. Yesterday, Seagate Technology, a maker of mechanical hard drives, announced a cut in its revenue forecast for the first quarter of fiscal 2023, which is expected to reduce sales by about $300m (about 2.07 billion yuan).

Seagate now expects sales in the first quarter of fiscal 2023 to range from $2 billion (about 13.8 billion yuan) to $2.2 billion (about 15.18 billion yuan), Seagate said. The previous estimate was $2.35 billion (about 16.215 billion yuan) to $2.65 billion (about 182.85 billion yuan).

Seagate CEO Dave Mosley (David Mosley) said in a downgrade statement that Seagate's business had been affected by changes in market conditions following the release of results for the fourth quarter and full year of fiscal 2022 in July, such as weak economic trends in some Asian regions that have increased inventory pressure on dealers and led to supply chain problems.

In addition, at a time of macroeconomic uncertainty, international companies and cloud business customers in the United States are more cautious about consumer spending. Seagate Technology said the changes would affect not only Seagate's revenue, but also Seagate's profits, causing non-GAAP earnings per share to be significantly lower than the previously expected $1.20. In response to this situation, Seagate will adjust by reducing production, reducing expenditure, and slowing down the 2023 investment plan.

CTOnews.com learned that global shipments of mechanical hard drives fell by 15.4% to 44.65 million in the second quarter of this year, according to data released by market research firm StorageNewsletter on Aug. 17. Of this total, Seagate shipped 19.88 million yuan in the second quarter, down 13.5% from the previous quarter.

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