SEAGATE DESIGNS NEW TYPE OF HARD DRIVE FOR CONSUMER ELECTRONICS AND OTHER NON-TRADITIONAL MARKETS.

Seagate Technology recently unveiled U Series X, the first hard drive designed specifically for the needs of non-traditional markets. U Series X addresses very cost-sensitive applications that require the best reliability, virtually silent operation, and sufficient capacity -- applications like the Xbox video game system from Microsoft, audio jukeboxes, copiers, retail point-of-sale (POS) systems and low-cost PCs. With just one read/write head and a 25 percent thinner profile to improve system airflow, it combines low cost, fast performance, and rugged durability for alternative applications. U Series X adds to the broad set of Seagate products available to PC makers and to Consumer Electronics and other non-traditional markets.

"Customers asked us for a drive that would help low-cost and emerging markets to profitably leverage the benefits of disc-drive storage," said Brian Dexheimer, Seagate executive vice president, Worldwide Sales, Marketing and Customer Service. "These markets have new requirements for a drive -- ample performance with excellent acoustics and reliability, and a cost structure that fits these applications. U Series X is the quietest drive in its class, so it fits comfortably in applications close to the ear. Its thin design makes it easier to cool a system and opens up new possibilities for smaller devices. And its efficient design will help our customers develop new devices in a more cost-effective way. U Series X can power music devices and game consoles, digital printers, networked copiers, service-center terminals, communications routers and even security cameras and police radar guns."

Seagate developed U Series X using Six Sigma design processes, enabling the most cost-effective design ever, with features customers would expect from a more expensive drive. Thanks to Seagate's SoftSonic fluid dynamic bearing motor, it has low acoustic emissions of only 2.6 bels. It resists 350 Gs shock for the best durability in its class, and provides 5,400-rpm performance for caching, gaming, and common office applications. Its thin profile helps customers cool their products more efficiently, and its 33 percent lower mass compared to other 3.5-inch drives cuts shipping costs for distribution customers. U Series X is protected by the 3D Defense System, including SeaTools Suite diagnostic software for better product reliability in the field, fewer product returns, and lower total costs for Seagate customers.

"A key advantage of Seagate's Six Sigma design process is that it begins with the voice of the customer," said Todd Holmdahl, General Manager Xbox Hardware, Microsoft. "Seagate maps out its product working closely with customers, including Microsoft. By working closely with us, Seagate improves their understanding of our integration plans, designing in the required features and the highest quality, and setting up a seamless transfer to factory production to get the product to us. And they do it while meeting our cost structure requirements."

"Seagate is unique in its application of Six Sigma to improve the process of designing and manufacturing hard drives," said Dave Reinsel, analyst at IDC. "These new processes make Seagate more efficient in the way it works, helping them integrate changing customer requirements at the root level. The U Series X demonstrates that Six Sigma can help Seagate continue its leadership in addressing new requirements for new applications."

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. 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.