Since last September to optimize labor resources as by layoffs since 1050 people, Seagate and layoffs.
Latest news June 30, in response to the decline in market demand, Seagate announced would be completed by the end of September, a new round of reshuffle, which is expected to be abolished around 1600 employees, accounting for 3% of 52,000 employees worldwide. Seagate said that although the restructuring is expected to generate $ 62 million pre-tax charge, but the cost will be able to save about $ 100 million a year thereafter.
Due to the growing demand for Tablet and mobile phone to switch to Flash memory without using the hard disk, combined with traditional PC market has been in a State of atrophy of the hard drive, but such orders are shipped in a hard drive occupies a large percentage of the volume, resulting in the traditional hard drive manufacturers such as Seagate and Western Digital are no better.
Seagate has 5 consecutive quarterly revenue decline, 2015 in fourth quarter revenue slumped by 11%. As of June this year, Seagate shares have reached 35%. Investment analyst at The Benchmark Company Mark Millar (Mark Miller) also lowered the stock rating of Seagate last year, saying: “we are worried about the situation of Seagate. “In addition, Seagate and Western Digital, the two major hard drive manufacturers recently also cut its revenue forecast.
The other hand, such as Ultrabook and Chromebook appears relatively niche products with low storage requirements, hard drive shipments in the consumer market may have some positive effects, but still utterly inadequate. Looking back at enterprise marketing, with the rise of cloud computing, cloud storage, cloud computing, and data company should give rise to demand for hard disk, so the hard drive manufacturers away from consumption towards the enterprise market is a general trend in the market. FENDI iPhone 6 plus case FENDI iPhone 6+