Seagate 2010 Annual Report Download - page 10

Table of Contents
Disk Drive Technology
Overview
The design and manufacturing of disk drives depends on highly advanced technology and manufacturing techniques and therefore requires
high levels of research and development spending and capital equipment investments. Manufacturing our disk drives is a complex process that
begins with the production of individual components and ends with a fully assembled unit. We design, fabricate and assemble a number of the
most important components found in our disk drives, including read/write heads and recording media. Our design and manufacturing operations
are based on technology platforms that are used to produce various disk drive products that serve multiple data storage applications and markets.
Our core technology platforms are focused around the areal density of media and read/write head technologies. Using an integrated platform
design and manufacturing leverage approach allows us to deliver a portfolio of disk drive products to service a wide range of electronic data
storage applications and a wide range of industries.
Disk Drive Performance
Disk drive performance is commonly differentiated by six key characteristics:
•
storage capacity, commonly expressed in gigabytes (GB) or terabytes (TB), which is the amount of data that can be stored on the
disk;
• spindle rotation speed, commonly expressed in revolutions per minute (RPM), which has an effect on speed of access to data;
•
interface transfer rate, commonly expressed in megabytes per second, which is the rate at which data moves between the disk
drive and the computer controller;
• average seek time, commonly expressed in milliseconds, which is the time needed to position the heads over a selected track on
the disk surface;
•
data transfer rate, commonly expressed in megabytes per second, which is the rate at which data is transferred to and from the
disk; and
•
product quality and reliability, commonly expressed in annualized return rates.
Areal Density
Areal density is a measure of storage capacity per square inch on the recording surface of a disk. The capacity of a disk drive is determined
by the number of disks it contains as well as the areal density capability of these disks. We have been pursuing, and will continue to pursue, a
number of technologies to increase areal densities across the entire range of our products for expanding disk drive capacities and reducing the
number of disks and heads per drive to further reduce product costs.
Manufacturing
Disk drive manufacturers are distinguished by their level of vertical integration, which is the degree to which they control the design and
manufacture of the technology used in their products and by whether they are captive, producing disk drives for their own computer systems, or
independent, producing disk drives as a stand-alone product.
Vertically integrated hard drive manufacturers design and produce their own read/write heads and recording media, which are critical
technologies for disk drives. This integrated approach enables manufacturers to lower costs and to improve the functionality of components so
that they work together efficiently. In contrast, manufacturers that are not integrated purchase most of their components from third-party
suppliers, upon whom they depend for key elements of their technological innovation and
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