EL7.AI
StocksMediumUpdated×6•Originally published 2 October 2026•Updated 2 October 2026•
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Easing AI Storage Shortage Pressures Western Digital and Seagate Shares

Key Facts

1Shares of Western Digital and Seagate fell following reports that Toshiba aims to increase its supply of hard disk drives.

Seagate shares fell 13% to $825.47, while Western Digital dropped 12% to $405.23 in trading on Friday, October 2, 2026. The sharp decline followed a TrendForce report indicating an easing in lead times for hard disk drives (HDD) and NAND flash memory, suggesting a reduction in the supply shortage previously driven by AI demand.

Toshiba plans to invest 60 billion yen ($380 million) to expand its HDD production facilities in the Philippines, marking its first major investment in five years to reach a 30% market share by fiscal year 2027. WDC was trading at $405.23 on October 2, 2026, down from its October 1 close of $462.56, as these expansion plans heighten competition concerns even as TrendForce projects prices to remain elevated through the fourth quarter of 2026.

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