The HDD supply shortage worsened in the second quarter of 2026, driving wholesale prices up 10% quarter over quarter. AI data center demand has consumed all production capacity from Western Digital, Seagate, and Toshiba. Consumer HDD prices have surged as a result, with the WD Blue 4TB model now selling for over $140, up from $70-80 previously.
AI data center demand consumes all HDD production
The shortage affects the three major HDD manufacturers: Western Digital, Seagate, and Toshiba. These companies are producing at full capacity, but AI data center purchases are absorbing every unit. No consumer-oriented supply is left to meet retail demand.
Overall HDD prices have increased nearly 50% in the past six months. The WD Blue 4TB, a popular consumer model, has roughly doubled in price. The price hike reflects the broader market imbalance between supply and demand.
The shortage is expected to persist until at least 2027. Analysts see no immediate relief as AI infrastructure spending continues to grow. Consumers and businesses relying on HDDs should expect elevated prices for the foreseeable future.
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