Question-and-Answer Session
Operator
(Operator Instructions). Our first question comes from David Bailey with Goldman Sachs.
David Bailey - Goldman Sachs
You've already bought up against that higher end of that range. Are there times when you could actually go above the new range and would these factors drive you there?
Bill Watkins
Hey, David.
David Bailey - Goldman Sachs
Yeah.
Bill Watkins
This is Bill. We didn't hear the first part of that question. Could you repeat please?
David Bailey - Goldman Sachs
Sure. At the Analyst Meeting in September, you gave a new gross margin range of 21% to 25%. Well, you are already there. You are already at the high-end of that. So, are there times when you could go above the high-end of the new range? And what would cause you to go above the 25%?
Bill Watkins
I will let Charles answer, but we had pricing declines of 2% that we have been involved in this quarter. Go ahead Charles.
Charles Pope
The range that we gave on our Analyst Day was a long-term range that reflected the product mix changes that are anticipated to occur over the next couple of years. During any given quarter, particularly during the front-end of that period of time, if you have environments like you do today, it may be possible to go beyond the top-end of that range. The range was discussed as a long-term range which includes the structure of the industry and the growth of 2.5 inch in other products which tends to have lower margins in the industry on the relative basis.
David Bailey - Goldman Sachs
And could I just get a follow-up to that. Given the seasonally lower volumes in the March and June quarters, should we expect the gross margin to drop to the lower end of the range or there are specific Seagate items that should keep it sort of at the mid range or above that going forward?
Charles Pope
I don't think we will comment on March and June quarters yet, I think it’s too early to determine what those dynamics are. But, we recognize that those are normally seasonally slower periods of time in the year and given the leverage that is in the company, you would expect to have a decline in profits during those periods.
David Bailey - Goldman Sachs
Okay. Thank you.
Operator
Our next question comes from the line of Keith Bachman with Bank of Montreal.
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