Drive makers say it’s
a Happy new year
J. Tan & M. Anantharaman
THERE'S
a newly popular stocking stuffer around this new year—gadgets equipped
with tiny hard disk drives.
From video cameras to
portable music players, consumer electronics manufacturers are
increasingly incorporating high-capacity hard disks into their products
to store video and music.
That’s providing a
windfall for the Asian companies that build drives and parts ranging
from screws to base plates, and is offering investors a new trend to bet
on.
Bullish forecasts abound.
Research firm Trend Focus sees hard drive shipments to consumer
electronics makers soaring to 55 million units in 2006 from an estimated
17 million this year.
Blazing a trail for the
market is Japan’s Toshiba Corp, which provides small drives for Apple
Computer Inc’s hugely popular iPod music player.
Toshiba controls 98 per
cent of the market for the 1.8 inch (4.6 cm) diameter drives used in the
iPod, which can pack up to 10,000 songs in a device the size of a deck
of cards, and its small drives are also appearing in a miniature video
camera that can record up to two hours of high-definition video.
It has developed an even
smaller drive that measures just 0.85 inch (2.2 cm). That compares with
the 3.5 inch (8.9 cm) drives used in personal computers and increasingly
in games consoles and the digital video recorders made popular by Tivo
Inc of the US.
"Everyone is talking
about smaller drives these days," says George Poh, chief executive
of Singapore-based Unisteel Technology Ltd, which makes precision screws
for hard drives.
"The hard disk drive
is no longer used just in PC applications, but also in digital media
recorders and gaming consoles such as PlayStation and Xbox, (which) will
support the overall (industry) growth trend, he adds.
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