Hard drive prices have surged by an average of 46% since September — iconic 24TB Seagate BarraCuda now $500 as AI claims another victim

Hard drive prices have surged by an average of 46% since September — iconic 24TB Seagate BarraCuda now $500 as AI claims another victim

The trend is also visible in the U.S. A Seagate IronWolf drive with just 4TB capacity would have set you back $70 in early 2023; that drive is now $99. Similarly, the 8TB model is $199, when it would have been priced as low as $130 a couple of years ago. Western Digital's Red Plus alternative is now $175 for 8TB. The toughest blow of all? Seagate's iconic BarraCuda 24TB drive, which we've seen cost as little as $239 during sales events, now costs a whopping $499 on Amazon , and you'll be buying it from a third party. Newegg doesn't even have it in stock.

Optical hard drives mark yet another casualty claimed by an explosion in AI buildouts in recent months that is consuming global DRAM capacity, squeezing RAM and SSD prices. The increases in RAM and SSD prices have become elevator noise at this point, with 100% or more price increases stifling enthusiasts and forcing a return to DDR4 PC building for some. While HDDs are obviously more insulated against DRAM and HBM supply issues, they play a crucial role in storing bulk data used for training AI models. Production is also being pivoted towards higher-capacity enterprise drives for AI data centers, squeezing supply for consumers.

As such, while HDDs may not directly be impacted by DRAM shortages, prices are being pulled up by the industry. Indeed, very few core components of PC building remain unaffected by price rises, with RAM, SSDs, HDDs, and, of course, GPUs all vulnerable to ongoing AI pricing pressure.

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Key considerations

  • Investor positioning can change fast
  • Volatility remains possible near catalysts
  • Macro rates and liquidity can dominate flows

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