I recently got all 1 TB drives from Seagate from Newegg, not a single one has had issues. They are all working like a charm in my RAIDZ setup that I have with OpenSolaris. The performance is also kick ass.
The problem is that NewEgg has a big stockpile in their warehouses. Take a look at the reviews for the 750 GB and 1.5 TB drives. You'll see complaints and mentions of the bad firmware. Go to the Seagate website and look in the forums. You'll see mention of the bad firmware.
Yes, you can get very nicely priced drives from NewEgg but it's a gamble whether you'll end up with one of the "bad" drives. I got all my drives in the area of $100 and I got them all with free 3 day UPS. Due to my location compared to one of their shipping points that means I get the drives the next day.
As far as performance, I wouldn't go back to WD. WD were great drives but power consumption of the Seagates are comparable to the WD equivalents, I believe the Seagate performance is better, and Seagate has the 32 MB cache while WD is still dragging its heels.
I believe Seagate drives, overall, are better. I just believe the quality control situation sucks. I also have to say that the Seagate customer service is also lacking. I put in a support ticket about my 1.5 TB drive the day I got it. I received a reply to my ticket just shy of 4 weeks later. There's some really solid support.
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I'm happy with my drives and it appears that regardless of model numbers, firmware versions, and serial numbers that I haven't gotten a bad drive because they are all performing beautifully however I can't help but have the thought stuck in the back of my mind that the drive may go south. I contacted NewEgg when I got my 4th 750 GB drive about the model number, serial number, firmware being the "bad" one listed on Seagate's site. NewEgg's reply was "Not our problem. Contact Seagate." Now, I love NewEgg's customer service. I dealt with them a lot due to some major issues with a system build I had previously had and they were beyond friendly and accommodating but when it came to a possibly bad HDD they didn't care unless it was DOA. It wasn't DOA so I was stuck.
Anyway, I haven't done any research on the 1 TB drives. I know there are issues with some 750 GB and the 1.5 TB models. The 1 TB drives may have gotten off lucky or you may have gotten lucky and didn't get any bad drives.
Long story short, I will continue to use Seagate drives and continue to purchase from NewEgg but I just wish that Seagate had better quality control and prevented these bad drives from shipping and that NewEgg didn't actively sell the bad drives that have sat in some warehouse somewhere that require a firmware update. It's a very unfortunate situation and makes all parties involved look bad.