Trending...
- Governor Newsom honors fallen California Highway Patrol Officer Miguel Cano
- Governor Newsom marks historic expansion of California's Film and Television Tax Credit Program, announces 16 new projects to film in the Golden State
- California: Governor Newsom announces appointments 7.2.25
CUPERTINO, Calif.--(BUSINESS WIRE)--TRENDFOCUS this month released its Preliminary CQ2 2021 HDD Shipment Summary Report, forecasting that the active nearline market will achieve record unit and capacity shipments for the category. At approximately 19 million units and 240 EB, the metrics far exceed previous records of 17.19 million units achieved in CQ1 '20, with nearly 193 EB shipped in the prior quarter.
The TRENDFOCUS report highlights several factors driving record growth. Hyperscale expansion was well underway at major cloud companies throughout the quarter and OEM demand for traditional IT was trending ahead of earlier forecasts, creating unexpected demand for HDD vendors. Channel demand for high-capacity drives also spiked as predictions surrounding the Chia cryptocurrency launch drove extreme allocation in the nearline market. And HDD pricing rose in the channel while negotiations for CQ3 pricing resulted in increases at OEMs and lower-than-typical declines at hyperscale customers.
Looking downrange, TRENDFOCUS Vice President John Chen noted "OEM demand for nearline HDDs should continue to improve through CQ3 and CQ4 '21 given a combination of seasonality and demand tailwinds from late-stage COVID economic recoveries in many countries. That said, slowed economic recovery linked to renewed lockdowns in Southeast Asia and emergency orders across other countries may create volatility in the category." Chen also noted that "while the initial storage demand from Chia has cooled due to restrictions on cryptocurrencies, the nature of the crypto market will likely bring additional volatility over coming quarters."
More on The Californer
Forecasting near-term demand in the nearline market has always been challenging, but historical cycles have proven to be a reasonable indicator. The TRENDFOCUS report notes that flattening cloud demand with additional digestion before the end of the year, OEM demand possibly hindered by a slowing pace of global economic recovery, and uncertain but expected cryptocurrency market volatility may result in a rebalancing of supply and demand in the future.
TRENDFOCUS analysts are available for interview and commentary on this and other TRENDFOCUS research.
About TRENDFOCUS:
TRENDFOCUS provides the data storage industry's most trusted market intelligence covering HDDs, NAND/SSDs, and the storage supply chain. Founded in 1993, the TRENDFOCUS method blends "top down/bottom up" and 360° statistical analysis to provide clients with the exacting data sets needed to make complex decisions in today's environment. Visit TRENDFOCUS at www.trendfocus.com.
The TRENDFOCUS report highlights several factors driving record growth. Hyperscale expansion was well underway at major cloud companies throughout the quarter and OEM demand for traditional IT was trending ahead of earlier forecasts, creating unexpected demand for HDD vendors. Channel demand for high-capacity drives also spiked as predictions surrounding the Chia cryptocurrency launch drove extreme allocation in the nearline market. And HDD pricing rose in the channel while negotiations for CQ3 pricing resulted in increases at OEMs and lower-than-typical declines at hyperscale customers.
Looking downrange, TRENDFOCUS Vice President John Chen noted "OEM demand for nearline HDDs should continue to improve through CQ3 and CQ4 '21 given a combination of seasonality and demand tailwinds from late-stage COVID economic recoveries in many countries. That said, slowed economic recovery linked to renewed lockdowns in Southeast Asia and emergency orders across other countries may create volatility in the category." Chen also noted that "while the initial storage demand from Chia has cooled due to restrictions on cryptocurrencies, the nature of the crypto market will likely bring additional volatility over coming quarters."
More on The Californer
- Utah Metal Fabricator Titan Forge Builds Momentum with Custom Steel Projects and Spiral Staircases
- Jason Koch: Pioneering the Future of Real Estate Development in New Jersey
- Amid Trump's assault on public lands, California conserves over one million acres of land and coastal waters in just one year
- California: Governor Newsom announces appointments 7.7.25
- City of Long Beach to Upgrade Its Internet Infrastructure to Enhance City Network Reliability and Performance
Forecasting near-term demand in the nearline market has always been challenging, but historical cycles have proven to be a reasonable indicator. The TRENDFOCUS report notes that flattening cloud demand with additional digestion before the end of the year, OEM demand possibly hindered by a slowing pace of global economic recovery, and uncertain but expected cryptocurrency market volatility may result in a rebalancing of supply and demand in the future.
TRENDFOCUS analysts are available for interview and commentary on this and other TRENDFOCUS research.
About TRENDFOCUS:
TRENDFOCUS provides the data storage industry's most trusted market intelligence covering HDDs, NAND/SSDs, and the storage supply chain. Founded in 1993, the TRENDFOCUS method blends "top down/bottom up" and 360° statistical analysis to provide clients with the exacting data sets needed to make complex decisions in today's environment. Visit TRENDFOCUS at www.trendfocus.com.
Filed Under: Business
0 Comments
Latest on The Californer
- Bach and Beyond: Cellists Return to the Beach for 2nd Annual Bethany Beach Cellofest
- Boleros de Noche presents "Marisoul y Los Hermanos Carlos" & "Bolero Soul" at The Ford
- Krispy Kreme, Inc. (DNUT) Investors Who Lost Money Have Opportunity to Lead Securities Fraud Lawsuit
- The 17th Annual Hola Mexico Film Festival presented by Toyota September 12-20 during Hispanic Heritage Month Official Poster Reveal
- NR7 Miner launches zero-cost USDT cloud mining service: daily stable income + referral rewards for double profit
- "The Grateful Dead — 60 Years in San Francisco" - Pantheon Media Launches New Podcast Series and Interactive "Hit Replay" App
- Deaths Spur Closures, but Troubled Teen Camps Must Be Banned, CCHR Warns
- Kiavi Expands Leadership Team to Further Bolster Construction Lending Growth
- Palmer Lake Wine Festival To Build Bridges in Small Mountain Community, Highlight Local Businesses
- Swim Up Hill Appoints Ambassador Lawson, Rep. Towns, and Banker Henderson to Board of Directors
- Paralympic Medalist Jamal Hill Launches Official Road to LA28 Campaign and $3M Corporate Fundraising Initiative
- AI-powered Virtual Staining of Biopsies for Transplant Diagnostics
- Jamal Hill, Duke of LA28 and ESPY Nominee, to Attend 2025 ESPYs and Host Exclusive LA28 Cocktail Party at Yamashiro Hollywood
- Swim Up Hill Games Launches Beta Version of Runner-Style Swim Game to Advance Global Water Safety
- Swim Up Hill, California Science Center Launch First Virtual Swim Experience in LA84-Funded Exhibit
- California: TOMORROW: Governor Newsom to join federal, state, and local leaders to recognize six-month anniversary of Los Angeles firestorms
- Skool Alternatives Reddit: Skool vs Circle vs Whop - Did you join one yet?
- Southern Soul Artist Moe Z Releases New Single 'Set It Out' Distributed by Morris Day Entertainment
- SacraPod Suites Unveils AI-Powered 'Work + Rest' Smart Hospitality Model for Retrofitting Underused Motels Across the U.S
- Green Jacket Gateway" System: Your Definitive Path to Golfing Greatness