Prices for hard disk drives (HDDs) supplied to retail channels in the Taiwan market have risen 20-30% due to short supply arising from flooding in Thailand, and will be hiked by 10% in early December 2011, according to industry sources in Taiwan.

Prices for a 2.5-inch 500GB HDD, for example, have risen from US$45-50 before the flooding to US$60 currently and will be further upward adjusted to US$70 in early December, the sources pointed out.

HDD vendors have given priority to PC vendors and allocated only 10-20% of the available supply volume to retail channels, the sources indicated. HDD vendors have settled supply prices for the fourth quarter of 2011 with PC vendors, with prices rising by 30% on quarter, the sources noted. Both sides are negotiating supply prices for the first quarter of 2012 and may further hike prices by 10%, the sources said.

Source:digitimes