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Tom’s Hardware
Tom’s Hardware
Technology
Bruno Ferreira

Class-action price-fixing lawsuit targets hard drive component makers as costs skyrocket — 13-year scheme allegedly drove up prices for major HDD brands

Hard drive internals.

A class-action lawsuit was filed against nearly every major hard drive suspension assembly maker, alleging that said companies' price-fixing efforts resulted in higher drive prices for resellers and end users. Should the lawsuit succeed, U.S. resellers and end users who purchased hard drives or computers including them could be eligible for monetary compensation. This suit is a stateside counterpart to the 2019 Canadian class action covering the same matter.

The documents were filed in the U.S. District Court for the Northern District of California and name two groups of defendants, one related to TDK Corporation and the other to NHK Spring. The assemblies produced by these firms are reportedly found in 97% of worldwide HDDs, so it's reasonable enough to assume drives from all major HDD brands are covered by this lawsuit — to wit, Seagate, Western Digital, and Toshiba.

There is no court date set, and the press release specifically mentions that there's no guarantee that the lawsuit will succeed. However, the case is a direct continuation of a 2019 antitrust lawsuit against the same suspension makers. Over in the northern lands, the Canadian courts have already certified the class action and rejected an appeal against it in 2022. While these facts don't guarantee a payout on either country, they're positive indicators nonetheless.

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(Image credit: Microsoft)

Suspension assemblies are one of the critical components in a hard drive, as they move the read-write head (the tip of the "needle" you see in hard drive internals), and must be spectacularly precise in both manufacturing and functionality, especially considering the magnetic density of contemporary hard drive platters. It's rather mesmerizing to watch them at work.

The price-fixing scheme allegedly ran from January 2003 to December 31, 2016, raising hard drive manufacturing prices, which were then passed on to customers. As with most class-action lawsuits, end users have the option to drop from the class action and pursue separate legal action against the suspension makers, or stay in it and hope for a cheque at the end of the proceedings. There's a dedicated website for anyone who wants to opt out, an action that can be taken until August 23, 2026.

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