Features - Enterprise Data Insights:

PERIPHERAL RESEARCH INDICATES DS INDUSTRY DEMANDS NEW TEST

The last couple of years have seen two significant trends in magnetic hard disk drives. First the pace of technology development has maintained the greater than 100% storage areal density growth that began a few years ago. Second, due to the cost of doing business in this industry and the slim profit margins of companies in this industry there has been significant consolidation of companies as well as closure and exits of several suppliers of components and equipment to the industry.

Disk drive head production is pushing the capabilities of state-of-the-art photolithographic equipment. As a consequence capital spending for new photolithographic equipment is increasing. By 2003 data storage photolithographic requirements will begin to exceed that available with existing semiconductor equipment. This will limit future growth of track densities to roughly 60% per year. The lack of available equipment is one of the factors limiting the growth of areal density for magnetic recording going forward. Already the greater than 100% areal density annual growth rate has decreased to the range of 70-80%.

There are signs that the difficulty in creating new test and process equipment for this industry will lead to new consortia between the remaining disk drive and component manufacturers. These consortia will pool their resources in developing next generation equipment. Where feasible, this could help the equipment suppliers and their customers reduce their risk and expense in making and purchasing new sophisticated equipment.

These trends and other developments in data storage test and process equipment are covered in the 2002 Data Storage Test/Process Equipment Report. The twelfth Data Storage Test/Process Equipment Market and Technology Report covers test, metrology and process equipment requirements and projections for the data storage industry. For the first time this report will include MRAM devices as well as disk drive and tape drive products. MRAM products will use some of the same process and test equipment that will be used on next generation disk drive heads and thus represent an additional market for disk drive test and process equipment manufacturers.

Copies of this report are available for $995.00 for the first copy at a single company site, $150 per additional copy per site. You can order copies of this report from Peripheral Research Corporation at: 351 Hitchcock Way, #B-200, Santa Barbara, CA 93105. Phone: 805-563-9720. Email: tom@tomcoughlin.com.

Contact: Tom Coughlin, 805-563-9720, tom@tomcoughlin.com.