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Technology Stocks : Disk Drive Sector Discussion Forum -- Ignore unavailable to you. Want to Upgrade?

To: Sam who wrote (8557)	8/18/2000 5:44:17 AM
From: Gus	Read Replies (1) \| Respond to of 9256

Why do you think that Seagate has the lead at 20GB?........Even if so, their "lead" wasn't a big one My understanding is that SEG skipped the 15GB/platter desktop program to focus on the time to market of the 20GB/platter program so that's why I think they will be THE major volume player at 20GB/platter, not necessarily first, which is the most phyrric victory in the industry nowadays.<g> The reports from Mark and others over the last few months suggest strongly that SEG is determined to drive each head program up and down its desktop and enterprise programs, which they have been reporting as a combined operation for some time now. Keep in mind that its flagship product is currently the 15k rpm drive, which uses up to 12 2" platters on a fluid-bearing motor-driven spindle in a disk drive enclosure. Their 10k rpm drives use 3" platters on an ordinary spindle in a disk drive enclosure while their 7200 rpm drives and desktop drives use 3.5" platters. Stitch or others can probably lay out for you the more understandable capacity ranges (and tactical positioning) possible with driving each head program up and down their product lines starting with the 20 GB/platter program. Interestingly, the density wars have continued at such an accelerated (unsustainable in my view) pace that not even the channel electronics guys can keep up because the recent shortages have come this space. Mind you, we're talking about the likes of Texas Instruments, Lucent (VTC), Marvell, Cirrus Logic and the rest!!! Also, As EMC's strategic supplier, there is no doubt in my mind that SEG is tuned into EMC's long-running campaign to persuade content providers to digitize and deposit their rich media programming on disk arrays that, with the right software, will allow them to generate new recurring revenue streams. As you recall, EMC and SEG collaborated on the Elite program sometime in 1997 or 1998. The Elite is SEG's 14-platter program which uses 3.5" platters (or 5.25"?) that could conceivably pack 280 GBs on one disk drive at 20 GB/platter. No one else has this mature and field-proven program so if this EMC campaign takes off, SEG is poised to more volume through its integrated cost structure. I ran into a rumor on the Seagate Yahoo thread that Silver Lake partners et al are planning to sell off the various parts of Seagate not long after they take control. The DD part, according to this unsubstantiated rumor, is slated to go to Fujitsu, perhaps after a cooling off period. If true, I am fairly confident that they will pay a bit more than $2 billion for it. Has anyone else heard of this? They have the institutional votes and they have the Delaware and California district judges in their pockets too? <g> Or why else would they be counting their chicks before they make their getaway. Just kidding, guys.