Resonac to Make Additional Investment of Approximately US$100 million in Hard Disk Media Production

July 28, 2026
Resonac Holdings Corporation

Resonac Corporation (President and CEO: Hidehito Takahashi; hereinafter “Resonac”) has decided to make an additional investment in its Singapore production site (the “Investment”) to further strengthen its supply capability, following its May 2026 announcement, “ Expanding Hard Disk Media Production Capacity in Response to Growing Storage Demand.” In addition, Resonac has reached an agreement with its customers on a price revision associated with the implementation of the Investment.

 

Demand for data center storage is expected to continue growing over the medium to long term, driven by the rapid adoption of generative AI and cloud services.^＊1 In particular, nearline^＊2 hard disk drives (HDDs), known for their high reliability, large capacity, and cost efficiency, are expected to continue playing a central role in data storage infrastructure.

In response to these market conditions, Resonac recognizes it as an important responsibility to ensure a stable supply of hard disk media as the world’s only merchant supplier of hard disk media supporting critical digital infrastructure. The company is therefore taking further steps to strengthen its stable supply system for hard disk media.

 

As part of these efforts, Resonac has decided to make an additional investment at Resonac HD Singapore Pte. Ltd., the Group’s core production site. By utilizing certain idle equipment, the Company will enhance investment efficiency while expanding capacity. Including the capacity expansion announced in May 2026 in " Expanding Hard Disk Media Production Capacity in Response to Growing Storage Demand," annual production capacity will increase by 44% from the current level of approximately 160 million disks to approximately 230 million disks per year.

The additional investment amounts to approximately US$100 million and production lines are scheduled to be launched in phases from 2029 onward in accordance with market conditions and customer demand.

 

In conjunction with this Investment, Resonac has also reached an agreement with its HDD manufacturer customers on a price revision equivalent to the investment amount, reflecting the growing demand from data center applications. Through these measures, the Company aims to achieve both enhanced supply capacity and improved profitability.

 

Looking ahead, Resonac will continue making agile growth investments in response to market growth and expanding customer needs. Through the development and supply of hard disk media with industry-leading recording density, the Company will continue contributing to the advancement of digital infrastructure, including data centers.

• *1 Nearline(*2) HDD shipment capacity is projected to grow at a CAGR of 23% from 2025 to 2030 (Source: Trend Focus).
  *2 Nearline: A category of large-capacity storage used primarily in data centers. While data remains accessible online at all times, nearline storage is typically used for large volumes of data with relatively low access frequency—such as backups and cloud data—rather than data requiring frequent high-speed access.

   

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