Toshiba is investing approximately ¥60 billion, or $380 million, to expand its hard disk drive production facility in the Philippines. The company aims to double its HDD assembly capacity by the 2027 fiscal year compared to 2025 levels. This investment marks the company's largest capital injection into HDD manufacturing in about five years.
The expansion at the Laguna Technopark site focuses on high-capacity drives for data centers. Starting in 2027, Toshiba plans to ship drives exceeding 30 TB, including the M12 series featuring MAMR technology and 11-disk designs. The company is also developing 40 TB models with 12 disks, aiming for 65 TB drives by 2030 and eventually reaching 100 TB capacities.
To support higher output, Toshiba is implementing automation in cleanroom operations and final product testing. These measures are expected to increase yield rates and reduce labor requirements by approximately 40%. The company currently holds a 10% market share by exabyte capacity and intends to grow this figure to 30% in the medium term.
The initiative is driven by rising demand from large-scale data centers, particularly those supporting artificial intelligence infrastructure. While currently trailing Seagate and Western Digital in maximum drive capacity, Toshiba reports that it has sold nearly its entire production volume in recent quarters, prompting this strategic expansion to capture more market share.
