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Thursday, 08 December 2011 10:53

Western Digital to set up in Taiwan

Written by Nick Farell



West is now East


While other outfits have been rushing to leave the US, Western Digital has remained loyal. But word on the street is that is all set to change with Western Digital is set to establish an R&D center in Hsinchu, Taiwan, focusing on solid state drives (SSD) and will recruit about 50 technicians from Taiwan.

Western Digital currently has a SSD R&D center at its headquarters in the US with about 200-250 technicians but  the R&D centre in Taiwan will be its first overseas R&D base. It will take the outfit a year to recruit for the Taiwan R&D centre which will also handle SSD business for Hitachi Global Storage Technologies (HGST) with the related SSD products to appear in the first quarter of 2012. It is not clear why the American outfit has changed its mind but it appears that the idea is to reduce some R&D costs in a bid to drive down the costs of SSDs.

According to Digitimes the outfit is worried that prices for SSDs are too high for it to successfully enter the consumer market.  SSDs have about a 10-fold price gap compared to traditional hard drives,. Western Digital believes it is still not an good time for SSDs to fully enter into the consumer market and therefore will focus its R&D on enterprise applications.

More here.

Nick Farell

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Comments  

 
0 #1 dicobalt 2011-12-08 11:24
Newsflash guys, it's not R&D that makes SSDs expensive, it's manufacturing. Maybe WD should use a little common sense and ensure their factories are outside of flood zones too.
 
 
+2 #2 Abdussamad 2011-12-08 12:26
Quoting dicobalt:
Newsflash guys, it's not R&D that makes SSDs expensive, it's manufacturing. Maybe WD should use a little common sense and ensure their factories are outside of flood zones too.


Yes it should ensure that it's factories are not susceptible to:

floods
earthquakes
hurricanes
terrorism
rioting
fire
any other acts of god.

Maybe they can build their next factory on the moon?

The Taiwanese are enjoying the fruits of their labour now. When you move manufacturing overseas you don't just move blue collar jobs. You also move the supporting white collar jobs. So now the best engineers are in Taiwan and not in the US.
 
 
0 #3 dicobalt 2011-12-08 15:28
Quoting Abdussamad:
Quoting dicobalt:
Newsflash guys, it's not R&D that makes SSDs expensive, it's manufacturing. Maybe WD should use a little common sense and ensure their factories are outside of flood zones too.


Yes it should ensure that it's factories are not susceptible to:

floods
earthquakes
hurricanes
terrorism
rioting
fire
any other acts of god.


Well, that doesn't mean they won't get hit by disasters only that it wouldn't go so far as to triple prices. Other manufacturers haven't ever had as big a problem as WD did in this flood. This WD situation is unique. The factories could have been up on stilts or inside sealed structures.
 

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