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Disclaimer: I work at Backblaze and was there during the Thailand flooding. > While the shucked drives might not have had the warranties We haven't shucked dr
by brianwski 6y ago
Disclaimer: I work at Backblaze and was there during the Thailand flooding.
> While the shucked drives might not have had the warranties
We haven't shucked drives in a while. The main advantage was when this artificial price difference that occurred in the Thailand drive crisis where a "raw drive" cost $400, but if it was put inside a $7 USB enclosure the same drive including the USB enclosure suddenly only cost $200. At the time, our business model literally wouldn't survive the cost increase, it was shuck drives or go out of business. :-) We assume the issue was that mostly "rich companies" bought "raw drives" and could afford the increase in price, but "poor consumers" bought drives in USB enclosures and couldn't afford the increase.
We still watch the prices though. You can think of it this way: if 3% of the drives fail but don't have a warranty because they were shucked, then we have to save more than 3% (plus the cost of the "shucking" process) to make it worth it. That rarely happens anymore. I think partly because as the volume of drives that we purchase has gone up we have the ability to get better "bulk discounts" than we had in the earliest days. Also, the process of "drive farming" where the retail stores would limit it to "2 per customer" or whatever would get much harder at our current scale.