More Hard Times For Hard Disks
You'd think these guys don't like making money. After riding the personal-computer boom for nearly two years, makers of computer disk drives are at war over prices again. New software that eats up lots of memory has created a glut of drives holding less than 120 million bytes of data, and some players aren't ready with bigger drives yet. Prices fell about 10% in the first quarter, nearly double the usual decline. That drop helped push Conner Peripherals, the No. 2 drive maker, into a $22.5 million loss in the first quarter. Now, Conner plans to cut its staff by 10%. Earnings have also declined at No. 1 Seagate Technology.