Thread regarding Seagate Technology Inc. layoffs

Is Seagate Supplying Huawei?

Toshiba will stop shipping disk drives to Huawei to avoid US sanctions. What about Seagate? Is Huawei a big customer?

https://www.zerohedge.com/news/2019-05-23/toshiba-joins-huawei-blockade-suspends-hard-drive-shipments

by
| 1904 views | |
Post ID: @Zcev8Al

11 replies (most recent on top)

5ubv - what can I say, throwing insults isn't an argument, and provide no real information contradicting the concerns. Yes, Seagate supplies disk drives to Huawei, as does ( did) for their telecommunications equipment, not cell phones. If you have information in how Seagate has migitated the impact of sanctions, please share. Try to rise above the level of ad hominem attacks.

by
|
Post ID: @Zcev8Al-5wgj

Seagate s---s !

by
|
Post ID: @Zcev8Al-4ioc

Sometimes, it seems like engineers/employees lack the most basic understanding of business principles.

Customers keep the lights on. Government order prohibiting sales to a major customer = loss of revenue and lower earnings. The company has to find some way to maintain margins. Reducing OpEx is one way, and this is a layoff board.

by
|
Post ID: @Zcev8Al-3akl

3hzz - If you didn't notice it in the original message, the link is about Toshiba which is not a US company. This creates huge issues for Seagate, which assembles some of their drives in China. Are you going to tell the Chinese government we will manufacture drives in your country, but we won't sell them to your telecommunications company?

Nevermind the 25% tariff on Seagate drives manufactured in China but shipped to the US.

by
|
Post ID: @Zcev8Al-3hxb

The level of ignorance here is astonishing. Huawei has a cloud business. Yes, it's a ban on all sales no matter where the product is made. It's 4% of Seagate's total revenue.

by
|
Post ID: @Zcev8Al-3lpb

"Yeah we put tons of HDD's in their phones..."

Do you put the 1 inch, 2.5 inch or 3.5 inch or 5.5 inch drives in the phones?

by
|
Post ID: @Zcev8Al-3drr

Oh stop with the trolling. These tariffs are only directed to US based companies who are shipping product to or from the trade target directly. This doesn't impact a drive line based in a non US location selling to a backwards culture.

by
|
Post ID: @Zcev8Al-3hzz

Getting caught up in a trade war and potentially being forced to stop selling to a major customer could lead to the need for cuts.

by
|
Post ID: @Zcev8Al-1ikt

How is this related to layoffs?

by
|
Post ID: @Zcev8Al-1zeq

Actually, Seagate is a major supplier to Huawei.

https://www.washingtonpost.com/politics/2019/05/18/its-not-just-huawei-trumps-new-tech-sector-order-could-ripple-through-global-supply-chains/?noredirect=on&utm_term=.2f957766aac9

by
|
Post ID: @Zcev8Al-syu

Yeah we put tons of HDD's in their phones...

by
|
Post ID: @Zcev8Al-hwq

Post a reply

: