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WDC » Topics » Increases in areal density may outpace customers demand for storage capacity, which may lower the prices our customers are willing to pay for new products.These excerpts taken from the WDC 10-K filed Aug 20, 2008. Increases
in areal density may outpace customers’ demand for storage
capacity, which may lower the prices our customers are willing
to pay for new products.
Historically, the industry has experienced periods of variable
areal density growth rates. When the rate of areal density
growth increases, the rate of increase may exceed the increase
in our customers’ demand for aggregate storage capacity.
Furthermore, our customers’ demand for storage capacity may
not continue to grow at current industry estimates as a result
of developments in the regulation and enforcement of digital
rights management or otherwise. These factors could lead to our
customers’ storage capacity needs being satisfied with
lower capacity hard drives at lower prices, thereby decreasing
our revenue. As a result, even with increasing aggregate demand
for storage capacity, our ASPs could decline, which could
adversely affect our operating results.
Increases in areal density may outpace customers’ demand for storage capacity, which may lower the prices our customers are willing to pay for new products. Historically, the industry has experienced periods of variable areal density growth rates. When the rate of areal density growth increases, the rate of increase may exceed the increase in our customers’ demand for aggregate storage capacity. Furthermore, our customers’ demand for storage capacity may not continue to grow at current industry estimates as a result of developments in the regulation and enforcement of digital rights management or otherwise. These factors could lead to our customers’ storage capacity needs being satisfied with lower capacity hard drives at lower prices, thereby decreasing our revenue. As a result, even with increasing aggregate demand for storage capacity, our ASPs could decline, which could adversely affect our operating results. This excerpt taken from the WDC 10-K filed Aug 28, 2007. Increases
in areal density may outpace customers’ demand for storage
capacity, which may lower the prices our customers are willing
to pay for new products.
Historically, the industry has experienced periods of variable
areal density growth rates. When the rate of areal density
growth increases, the rate of increase may exceed the increase
in our customers’ demand for aggregate storage capacity.
Furthermore, our customers’ demand for storage capacity may
not continue to grow at current industry estimates as a result
of developments in the regulation and enforcement of digital
rights management or otherwise. These factors could lead to our
customers’ storage capacity needs being satisfied with
lower capacity hard drives at lower prices, thereby decreasing
our revenue. As a result, even with increasing aggregate demand
for storage capacity, our ASPs could decline, which could
adversely affect our results of operations.
This excerpt taken from the WDC 10-K filed Nov 20, 2006. Increases
in areal density may outpace customers’ demand for storage
capacity, which may lower the prices our customers are willing
to pay for new products.
Historically, the industry has experienced periods of increased
areal density growth rates. Although in recent years there has
been a decrease in the rate of areal density growth, if industry
conditions return to periods of increased growth rates, the rate
of increase in areal density may exceed the increase in our
customers’ demand for aggregate storage capacity.
Furthermore, our customers’ demand for storage capacity may
not continue to grow at current industry estimates as a result
of developments in the regulation and enforcement of digital
rights management or otherwise. These factors could lead to our
customers’ storage capacity needs being satisfied with
lower capacity hard drives at lower prices, thereby decreasing
our revenue. As a result, even with increasing aggregate demand
for storage capacity, our ASPs could decline, which could
adversely affect our results of operations.
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