Thread: Samsung -> Seagate 1.3B deal
04-20-2011, 08:02 AM #1
Samsung -> Seagate 1.3B deal
Samsung and Seagate this morning announced a broad ‘strategic alignment’ in a move to expand their existing relationship and more effectively counter competitor Western Digital.Upon closing, Samsung will receive Seagate shares 45.2 million shares with a total value of $687.5 million, representing approximately 9.6% ownership of Seagate, plus $687.5 million in cash.
With Western Digital and Hitachi merging, and Samsung and Seagate basically the same now, that leaves just Western Digital, Seagate, and Toshiba as the major competitors in this market. With Toshiba not making 3.5" drives, that only leaves two main competitors in the tried and true 3.5" magnetic disk market.
04-20-2011, 02:21 PM #2Web Hosting Guru
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Don't forget Fujitsu.
It will be interesting to see how the landscape changes. As far as reliability of desktop drives go, it seems Samsung has been pretty competitive with Seagate, sometimes even exceeding them with certain models.
04-20-2011, 02:25 PM #3
My experience in terms of reliability basically goes WD > Samsung > Seagate.
If WD didn't exist, I would consider Samsung adequate, but with WD available, wouldn't consider Samsung if I could help it. If Seagate were my only option for Sata 3.5", I wouldn't buy Sata 3.5" drives period.
04-20-2011, 07:00 PM #4
04-20-2011, 10:09 PM #5Web Hosting Guru
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04-20-2011, 10:23 PM #6
My experiences since then haven't been much more encouraging (mostly with other people's drives or in dedicated servers rather than colo), and the benchmarks on tomshardware show WD drives to be a lot faster anyway, so I've seen no reason to go back and try them out on a serious level since then.
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04-20-2011, 11:07 PM #8
04-21-2011, 12:34 PM #9Web Hosting Evangelist
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I think it's a shame because I really liked Samsung's green drives for storage. In my experience they were actually better performing than WD's greens. For performance, I prefer WD Black or RE's.
Haven't really had much interest in Seagate after almost losing a very important RAID 5 to a multiple drive outage a few years ago. Their RMA process is straight up maddening to boot. WD is so easy to deal with and get warranties taken care of.
In general though, I don't like the consolidation so much as it reduces possibility for competition and therefore inflated prices.
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04-21-2011, 12:45 PM #10Web Hosting Master
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Ugh, shame, we used to use Samsung for SATA drives where needed as Seagate have been a nightmare over the last couple of years. Can't fault their SAS drives though.Karl Austin :: KDA Web Services Ltd.
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04-21-2011, 01:33 PM #11
Now, we have thousands of Seagate drives and since we've gotten away from the SC512 chassis hard drive reliability has been superb, except for the WD Raptors, which seem to fail left and right. Now, the Seagate SAS drives spin 50% faster than the Raptors, yet have a significantly lower failure rate...
Personally, I'd rate WD and Seagate at about the same level, neither is perfect and both make quality drives. The one I'd pick depends then on the specific application/use. For us, it has just become consistency, as WD has not made SAS drives we couldn't unify on a single brand with WD. Now, that will likely be changing.
With this partnership though, I think Seagate sees the future is in SSD and Samsung is already big in the SSD market, though generally making chips for others to use. I see Seagate really starting to push Samsung's hybrid drive idea. Technology-wise I think Seagate got a better deal here than WD did with Hitachi, but the deals are about a lot more than technology. Seagate now has some future proofing.
What is it with all the nightmare talk about Seagate? All we've seen is a single firmware issue which was on a brand new bleeding edge drive. If you're building servers, always wait a couple months after something comes out as there will very often be bugs, as shown with both the Sandy Bridge and Seagate drive recalls. We waited, as is our policy, and were entirely unaffected.
We've also not had any issues with Seagate RMAs, though maybe that is because of our volume?
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04-21-2011, 03:53 PM #12
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