Pricing pressure decreases Seagate's Q1 revenues

Scotts Valley (CA) - Seagate has lowered its revenue guidance for the first quarter of this year (fiscal Q3 2007).

According to a note posted on the firm’s website, lower than expected demand for 3.5" ATA disc drives combined with a more competitive landscape for high-capacity high capacity 3.5" drives impacted Seagate’s revenue and profitability during the quarter. Instead of $2.9-3.0 billion, the company expects to post revenues of about $2.8 billion for its fiscal Q3.

The company believes that its overall market share as well its market shares within its segments "is virtually unchanged from the previous quarter."

Seagate will report fiscal Q3 results on April 17 after market close.