Business Strategies - Hard Disk Media


Mission of Hard Disk Media Business

We will increase capacity and improve quality of HDD*1s by developing and launching the latest technologies ahead of our industry peers. In doing so, we will enable HDDs to maintain their superiority in large-capacity data storage for data centers, thereby contributing to the development of a highly digitalized society.

  • *1 HDD：Hard Disk Drive

Strengths and Competitive Advantages for the Achievement of the Long-Term Vision

We will make use of Resonac’s strengths and competitive advantages to become a world-class functional chemical company and a company that can compete on the world stage by 2030.

Advantages of HDDs

HDDs*1 remain superior to SSDs*2 in terms of cost and energy consumption (CO2 emissions) for large-capacity data storage used in data centers, thus continuing to play a central role in storage (our estimate)

  • *1 HDD：Hard Disk Drive 　　*2 SSD：Solid State Drive

1. Low cost
When it comes to cost per GB of storage capacity, HDDs will continue to have a sufficient cost advantage over SSDs for differentiation in the future. Maintaining this difference is key for HDDs to maintain an overwhelming superiority in data center applications.

2. Low environmental impact
Embodied CO2 per storage capacity during the lifetime of a HGBDD from its manufacturing to data center operation is said to be roughly 50% less compared to that of a SSD. Additionally, SSDs generate more heat in data centers than HDDs. If the electricity needed for cooling is also factored in, HDDs reduce CO2 emissions even further.

Technological superiority

  • We possess the technological capabilities to develop and mass produce the world’s most advanced media ahead of the rest of the industry
  • We are able to develop collaboration technology through co-creation with all three HDD customers, enabling the provision of Best Fit products
 

　Action taken to meet customer requirements

  • Differentiate our products by combining SMR*5 drive technology and our media
  • Continue joint development for HAMR and produce results
  • Strengthen development systems at multiple bases and accelerate development
  • Enhance reliability and mechanical characteristic evaluation
  • *5 SMR: Shingled Magnetic Recording

Strengths and Competitive Advantages for the Achievement of the Long-Term Vision

Data capacity and data communication speed will further increase. In response, we will differentiate our products in the data storage category, which supports this trend, by fusing the drive SMR technology and the REC media technology through co-creation with customers. We will also continue to promote the joint development of next-generation HAMR technology and make achievements in this endeavor, thereby boosting the capacity of HDD media.

Vision for 2030 and Roadmap to Achieve It

Vision for the future(2030) Issues to Be Addressed Results in 2023 Plans for 2024
  • Contribution to storage demand that supports increased data traffic volume and transmission speed as a large-capacity media technology leader
  • Contribution to a sustainable society by reducing GHG emissions in production processes and at customers’ data centers
  • Through the development of our proprietary technology, achieve a thinner substrate with the aim of accelerating the increase in recording density and increasing the number of media in the drive for MAMR*3 and HAMR*4, thereby contributing to a further increase in the data-storage capacity of HDDs
  • Speed up decision-making to respond to structural reforms and market growth
  • Respond flexibly to fluctuations in demand
  • Carried out business restructuring (site consolidation and organizational downsizing) in response to the drastic fluctuations in HDD demand, which expanded rapidly until 2022, with the aim of speeding up decision-making and strengthening competitiveness ahead of anticipated fluctuations in HDD demand down the line
  • Continuation of industry-leading development and mass production of world-class HD media to lead technological innovation in media for large capacity near-line servers
  • Further increase revenue by ensuring the realization of last year’s structural reforms and developing a production system that can swiftly respond to a demand recovery and by expanding sales
  • *1 HDDs：Hard Disk Drive 　　*2 SSDs：Solid State Drive　　*3 MAMR: Microwave Assisted Magnetic Recording　　*4 HAMR: Heat-Assisted Magnetic Recording

TOPICS 2024 of Hard Disk Media Business

Resonac Holdings Decides to Reorganize the Group’s Hard Disk Media Business through Simple Absorption-type Company Split to Be Conducted by Its Consolidated Subsidiaries

In July 2024, we transferred our hard disk media business through a company split with the aim of speeding up the decision- making of the global hard disk media business, thereby stabilizing, optimizing, and further strengthening business operations.

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Solution of Social Issues through Business Operations

Business/Product How to contribute to society Related SDGs
Hard disk media Contribute to the development of a highly digitalized society 9
Hard disk media Reduce amount of electricity consumed by power-hungry SSDs 13
Hard disk media Reduce per-TB cost by increasing the density of recording media 9