Business Services Industry

Irvine, Calif., Computer Storage Maker Contributes to Microsoft Game Console.(Knight Ridder/Tribune Business News)

Knight Ridder/Tribune Business News, October, 2000 by Chuang, Tamara

Oct. 11--IRVINE, Calif. -- Western Digital Corp.'s new venture is all a big game -- specifically, a key component of Microsoft's new Xbox game console.

The computer storage maker said Tuesday that it will provide 8-gigabyte hard drives for Microsoft's video-game units over the next two years. The Xbox will be in stores next fall.

"For Western Digital, this is a great deal," said John Donovan, vice president at Trend Focus, a research firm that covers the hard-drive industry. "Their new president, Matt Massengill, has really worked hard to expand the business outside the traditional market."

Throughout the hard-drive industry, manufacturers have been developing new products as lackluster sales have spurred their traditional customers, PC...

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