Aug 20, 2001

Seagate Ships Over 1.5 Million New U Series Hard Drives

SCOTTS VALLEY, Calif. - Seagate Technology announced today it has shipped over 1.5 million new U Series hard drives since volume production began in June. The new U Series, the first hard drive to ship with up to 80 Gbytes on just two platters, shipped more units in its first month of production than any drive in Seagate's history. It has already been qualified for integration by 11 major PC makers. In June, Seagate was also the first hard drive maker to ship high-performance, 7200-rpm hard drives with 40 Gbytes per disc with its Barracuda ATA IV.

Seagate also announced it is again the number one hard drive maker in revenue for fiscal year 2001, both worldwide and in every major geographic region. Seagate shipped more PC hard drives in 2001 than ever before. This year, Seagate's drives were the choice of all of the top ten PC makers, all of the top ten Consumer Electronics makers, and all of the top ten Enterprise server and storage system manufacturers worldwide.

"Seagate has shipped more than 60 million U Series drives, making it the most popular drive program within the industry, and Seagate has more than doubled its market share in the 5,400-rpm hard drive market since the first quarter of 1999," said Dave Reinsel, research manager at IDC. "The new U Series 80 Gbyte is a noteworthy addition for Seagate because it represents more than just a follow-on program within the popular U Series. Being first to ship a next-generation product allows a hard drive vendor the best opportunity to capture as much value as possible. Seagate's execution in this product generation is helping them do that."

"Seagate's new U Series disc drive is the first with up to 80 Gbytes on just two platters, it's the quietest drive in its class, and its leading performance improves time-to-ready by 35 percent over previous generations to improve PC boot-up time," said Alexander Su, Associate Director for Desktop PC Product Line Management at Acer. "Acer is well aware the U Series is the best-selling hard drive in history U Series has provided Acer PC systems with unparalleled reliability and value since its first generation. Because the newest U Series is the first 40-Gbyte-per-disc available to the market, we had no doubt it would play a key role in Acer's newest PC products."

"Seagate's U Series is designed to support our goal to provide PCs for a full spectrum of uses including entertainment, education and home working, with powerful specifications at low price points," said Mr. Li Lin, Deputy General Manager, Consumer PC Business, Legend Holdings Ltd. "With our focus on delivering a new level of PC affordability, outstanding product quality, and mass retail distribution, the U Series disc drive and Seagate's renowned customer support play an important role in supporting our business strategy for opening up the market to new computer users."

"U Series is the biggest success story in PC hard drive history, and now with the new 80-Gbyte U Series we are breaking our own records," said Brian Dexheimer, Seagate executive vice president of Worldwide Sales, Marketing and Customer Service. "Seagate's focus on becoming the hard drive industry's time-to-market leader continues to reap benefits. We're working earlier and more closely with our customers, designing our products for their needs; U Series is the most reliable drive in its class, it resists more shock, runs more quietly, offers the best performance and is more advanced than any other 5,400-rpm drive."

Seagate is the world's leading provider of storage technology for Internet, business and consumer applications. The Company's products include disc drives for the Enterprise, PCs and Consumer Electronics, as well as Storage Area Network (SAN) solutions and Server Appliances. Seagate's market leadership is based on delivering award-winning products, customer support and reliability to meet the world's growing demand for information storage. Seagate can be found around the globe and at www.seagate.com.

Seagate, Seagate Technology and Barracuda are registered trademarks of Seagate Technology LLC. All other trademarks are the property of their respective owners.