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smakme7757

Crazy price hop in the HDD market.

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Don't expect the pricing to stabilise till early next year.

Wonder how long it would take those dastardly clever Chinese to get a factory up an running?

I know the Kobe Earthquake RAM shortage seemed to be over rather more quickly than predicted because someone wacked a fab plant in double quick time somewhere else.

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It's been generally known that the prices were about to skyrocket for a fortnight or more. So I'd say most retailers/distributors were actually being pretty decent about it.

And then you woke up to the real world and its business practices. :D
Huh?

 

As in he was dreaming that,"most retailers/distributors were actually being pretty decent about it" and then he woke up to the real world. You young whipper snappers got to explain everything to ya. ;)

 

Oh! And get off my lawn!

 

I got that that's what you were saying, but you were responding to a statement that in the realy real world the price hike was delayed by a couple of weeks. So... you're ignoring the real world. So... huh?

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It's been generally known that the prices were about to skyrocket for a fortnight or more. So I'd say most retailers/distributors were actually being pretty decent about it.

And then you woke up to the real world and its business practices. :D
Huh?

 

As in he was dreaming that,"most retailers/distributors were actually being pretty decent about it" and then he woke up to the real world. You young whipper snappers got to explain everything to ya. ;)

 

Oh! And get off my lawn!

 

I got that that's what you were saying, but you were responding to a statement that in the realy real world the price hike was delayed by a couple of weeks. So... you're ignoring the real world. So... huh?

 

And my comment disagreed with that observation that retailers were being good about it and that although it may have been known for a couple of weeks, prices went up way faster than existing stock would have been depleted. So in the "real" business world we consumers are being bitten again.

 

On another note I have always wondered why the price of goods go up when in short supply, it still costs the same to produce the goods even in limited numbers (lets take hard drives for instance). If hard drives are coming from another source or from the same factory but in limited numbers, then why the massive price hike ? To me charging more for something that is in limited supply, when the cost to produce that something may still be around the same cost as before is profiteering. You might expect a small price rise if the drives are made elsewhere due to different costing of another manufacturer, but double (or more) that price ! Why, unless it is blatant profiteering.

Edited by bowiee

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Knowing the incredibly high turn over of wholesalers and the busier retailers, I can't help but disagree.

 

Maybe you could say the manufacturer and any intermediary importers are profiteering...

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Yea sorry should have made that clear, the comment about profiteering was indeed directed at the manufacturers.

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Of course the retailers did not mark up their current stock to cash in..............................

Hey the little fellas like our company (3 stores) are suffering just as much as you guys. And no we're not cashing in on other people's misery. That being said there are opportunistic sickos out there and i'm sure they're loving their profits at the moment. We just sold the last of our HDD stockpile and went to go order some new HDD's from our suppliers (SY***X Australia and ING*** MIC** Australia, cant give names in case i get in trouble but their international cousins are mentioned in the Reuters article at the start) Just had to give a customer a quote on a laptop with a dead HDD. had to quote her... get ready for it... $187 for a Seagate 2.5" SATA HDD, and that's not even including our labor. and that's at cost + GST we cant afford to put margin onto it otherwise no one will buy it. I felt disgusted even giving her the price. I bought a Seagate XT 2TB HDD 3-4 weeks ago for $79...

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Of course the retailers did not mark up their current stock to cash in..............................

Hey the little fellas like our company (3 stores) are suffering just as much as you guys. And no we're not cashing in on other people's misery. That being said there are opportunistic sickos out there and i'm sure they're loving their profits at the moment. We just sold the last of our HDD stockpile and went to go order some new HDD's from our suppliers (SY***X Australia and ING*** MIC** Australia, cant give names in case i get in trouble but their international cousins are mentioned in the Reuters article at the start) Just had to give a customer a quote on a laptop with a dead HDD. had to quote her... get ready for it... $187 for a Seagate 2.5" SATA HDD, and that's not even including our labor. and that's at cost + GST we cant afford to put margin onto it otherwise no one will buy it. I felt disgusted even giving her the price. I bought a Seagate XT 2TB HDD 3-4 weeks ago for $79...

 

You may not be but stores like yours would be few and far between, most (read larger stores) cannot resist the chance to make a few bucks by jacking up prices on current stock.

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Price hike is not just in Australia, even the US and Asia feel it. Thailand is flooded since July and majority of HDD come from than country, so I guess it is a legitimate reason to believe HDD prices will surely go up.

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Price hike is not just in Australia, even the US and Asia feel it. Thailand is flooded since July and majority of HDD come from than country, so I guess it is a legitimate reason to believe HDD prices will surely go up.

Yea we are not debating the excuse given for the price rise, just debating how some stores upped their prices on their existing stock thereby cashing in at the consumers expense. And also debating the greed of manufactures by upping the price because they cannot produce as many as before, when it still costs the same to produce a lesser amount given the wages they pay in Thailand. :) Edited by bowiee

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They say 40% of drives are now made in Thailand assuming the factories aren't 50 foot under water.

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And also debating the greed of manufactures by upping the price because they cannot produce as many as before, when it still costs the same to produce a lesser amount given the wages they pay in Thailand. :)

Supply and demand?

Even if the manufacturers didn't put the price up the shops would, as they would be offering more money to guarantee supply.

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And also debating the greed of manufactures by upping the price because they cannot produce as many as before, when it still costs the same to produce a lesser amount given the wages they pay in Thailand. :)

Supply and demand?

Even if the manufacturers didn't put the price up the shops would, as they would be offering more money to guarantee supply.

 

"Supply and demand" is just another word for profiteering. It still costs the same to make said hard drive but because of a supply shortage they have always believed it is ok to charge more, and as usual the bloody consumer takes it in the arse. :(

 

The only reason this has not been addressed is because it always been this way, but that does not make it right. I for one would be willing to wait for my turn for a fairly priced hard drive while they are in short supply. I hope my current stock holds out until the prices return to some normality.

 

Oh and my stock is only for my clients and will be the same price as before the shortage. :)

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"Supply and demand" is just another word for profiteering.

No, when many people wan't the same thing and there is a limited amount the price goes up.

If you sell something at auction and there is only one person bidding the price wont get very high, but if there are 10 people bidding the sale price will usually end up higher.

 

Basic economics...

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"Supply and demand" is just another word for profiteering.

No, when many people wan't the same thing and there is a limited amount the price goes up.

If you sell something at auction and there is only one person bidding the price wont get very high, but if there are 10 people bidding the sale price will usually end up higher.

 

Basic economics...

 

But what is the justification for raising the price ? Its still costing the same to make it, hence being ripped off.

 

Basic economics... that's my point its been going on for so long no one questions it.

Edited by bowiee

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Because, items that are scarce are worth more.

I can't think of any other way to prove why this HAS to happen, it just does.

And I'm sure if you were in the business of making HDD's, you would raise the price too, if it meant you still sold every drive you made.

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Because, items that are scarce are worth more.

Not if it still costs the same to make that item as it did before, its just that the supply is less. It should only cost more if it either costs more to make OR is no longer made IE: antique. So it does not HAVE to happen it is simply a time honoured excuse to profiteer.

 

If I was in the business of making hard drives and I charged more because there is an over all shortage, no matter how you look at it that's profiteering. There is no real financial reason to charge more its simply cashing in and screwing the consumer.

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Cost doesn't equal worth..

 

If many people are fighting over the same limited amount of products then of course the price will go up.

Have you never been to an auction?!

 

The theory of supply and demand was not just dreamt up, they were made after people observed how the market worked in real life.

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And as long as we continue to think that way we will continue to get screwed, which is of course what they depend on. Go on think outside the box...............dare ya. ;)

Edited by bowiee

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It's the way the world works.

 

Platinum doesn't cost much more to mine or smelt than any other precious metal. It's scarcity increases it's value.

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Was just wondering why these things had jumped in price! Was spec'ing a system for a client.....prices here have almost doubled. I was shocked. I was kinda hoping it was due to SSD prices dropping and becoming the standard option.....I'll keep dreaming :P

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working for a company that supply and sell servers, and service them, we have had a lot of difficulty acquiring hard drives and things aren't looking much better for next year.

 

Im glad I bought when I did. a 2TB WD green cost me $88 and now, about $190. lol

 

Worth noting is that SSD prices don't seem to have increased and if anything may have dropped a little.

Edited by p0is(+)n

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I'm surprised that all hard drives have gone up in price. Yes, I understand the supply/demand issue, but pretty much all the last bunch of Segate and Samsung drives we've used at work were manufactured at their China plants - or is it something like the actuator motors or spindle motors are made in Thailand and then assembled in China?

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I'm surprised that all hard drives have gone up in price. Yes, I understand the supply/demand issue, but pretty much all the last bunch of Segate and Samsung drives we've used at work were manufactured at their China plants - or is it something like the actuator motors or spindle motors are made in Thailand and then assembled in China?

If you read the linked Seagate article, you'll find that many of the places that make the parts for the drives are totally under water. It isn't just the actual Seagate/WD factories that are having problems.

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