Revenues of ~$1.4 billion in fiscal 1Q18
Western Digital’s (WDC) Data Center Devices & Solutions business posted revenues of $1.37 billion in fiscal 1Q18, which was flat YoY (year-over-year) compared to revenues of $1.36 billion in 1Q17.
This business provides data center software solutions and high-capacity HDD (hard disk drives) and SSD (solid-state drives) products to companies.
This is WDC’s second-largest business and accounted for 26.0% of total revenues in fiscal 1Q18, down from 29.0% in fiscal 1Q17.
According to WDC’s COO, Mark Long, “In data center devices and solutions, our September quarter revenue was similar to the year-ago quarter as combined revenue growth in enterprise SSDs and capacity enterprise hard drives was offset by the expected secular decline in performance enterprise hard drives.”
Exabytes shipped rose in fiscal 1Q18
A shortage of key components such as DRAM (dynamic random access memory) in the storage industry resulted in lower-than-expected petabyte growth in calendar 2017 and continued to impact WDC’s revenues in fiscal 1Q18.
However, WDC expects petabyte growth to accelerate to 40% in calendar 2018, driven by demand from hyperscale customers. Another factor is market migration to higher-capacity products such as its 12 TB (terabyte) offering.
Western Digital’s Data Center Devices & Solutions business shipped 35.4 exabytes in fiscal 1Q18, a 24% year-over-year rise over its 28.6 exabytes shipped in fiscal 1Q17.