That meant they stopped ordering additional drives while they whittled down their existing inventories. New entrants flooded the market, especially at the profitable high end. These included not only Asian manufacturers, whose products became less expensive owing to currency fluctuations, but also IBM, which mounted an ambitious expansion effort. Things are better now - demand is now starting to pick up as PC makers have worked through their old inventories, and drive makers have revamped operations and learned to deal with lower prices by slashing payrolls, shutting down some plants and tightening internal operations. This quarter is the best one we've had all year.
Demand is as strong as it's been in a long time.
The CEO was on CNBC earlier this month, and most of what he said was positive. Prices are falling much more slowly, the tape business is strong, inventory is under control, and the busy retail season is driving strong demand. By using this site you agree to our Terms of Use .