AI-powered data creation to drive next wave of cloud storage growth, according to new research commissioned by Seagate Investing.com

Sixty-one percent of respondents expect their organization’s cloud-based storage “assisted by hard drives” to increase by more than 100% by 2028.

FREMONT, Calif.–( BUSINESS WIRE )–According to a recent global survey by Recon Analytics1 commissioned by Seagate Technology, business leaders from 15 industry sectors and 10 countries expect the adoption of artificial intelligence (AI) applications to generate unprecedented amounts of data, leading to booming demand for data storage, especially cloud storage.

With hard drives providing scalability at terabytes per dollar of cost efficiency, cloud service providers rely on hard drives to store large amounts of data. Recently, analyst firm IDC estimated that 89% of data stored by leading cloud service providers is stored on hard drives2. Now, according to this study by Recon Analytics, nearly two-thirds of respondents (61%) from companies that use the cloud as their leading storage medium expect their cloud-based storage to grow by more than 100% in the next 3 years.

The survey results generally point to an upcoming increase in demand for data storage, with hard drives being the clear winner, noted Roger Entner, founder and lead analyst at Recon Analytics. When you consider that the business leaders we surveyed intend to store more and more of this AI-driven data in the cloud, cloud services seem well-positioned to ride the second wave of growth.

Key findings:

• 72% respondents say they use AI today.
• 61% respondents who predominantly use cloud storage have their say cloud based storage will increase by more than 100% in the next 3 years.
• Storage ranks as the second most important a component of the AI ​​infrastructure, with a security ranking of #1.
  • According to importance: Security, Storage, Data Management, Network Capacity, Computing, Regulations, LLM Sustainability, Energy
• Of those companies that have adopted AI technology, 90% believe that longer data retention improves the quality of AI results.
• 88% of respondents who use AI today believe that adopting reliable AI requires an increased need to store more data for longer periods of time.

The survey results confirm a trend toward organizations retaining data for longer periods of time to ensure the data integrity needed to optimally train AI models. For AI innovation and adoption to continue, AI outputs and outcomes must become increasingly accurate.

Trusted AI is indeed the key to enabling mass AI adoption, said BS Teh, Seagate’s chief commercial officer. With the vast majority of survey respondents saying they need to store data for longer periods of time to improve quality AI results, we are focused on the areal density innovation needed to increase the storage capacity for each plate in our HAMR-based hard drives. . We have a clear path to more than double the storage capacity per board in the next few years.

To view comprehensive research and analysis results, visit Recon Analytics.

About Seagate technology

Seagate is a leader in high-capacity data storage. We have delivered more than four and a half billion terabytes of capacity over the past four decades. We build storage that scales, bringing trust and integrity to innovation that depends on data. In an era of unprecedented creation, Seagate stores infinite potential. To learn more about how Seagate is leading storage innovation, visit www.seagate.com and our blog, or follow us at XFacebook (NASDAQ:), LinkedInand YouTube.

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1 The November 2024 survey sampled more than 1,000 business decision makers who are actively working in a data storage infrastructure role with companies reporting more than $10 million in annual revenue that have already adopted AI or plan to adopt AI in the next three years. The survey results provide insight into the current impacts of the use of AI applications on infrastructure priorities as well as data retention and management dynamics. The results also explore respondents’ expectations of how the increased adoption of artificial intelligence will affect infrastructure needs over the next three years.
2 According to the 2024 IDC Cloud Infrastructure Index report.

See the original version on businesswire.com: https://www.businesswire.com/news/home/20250113613380/en/

Andrea Kirby (NYSE:), andrea.l.kirby@seagate.com
Karin Taylor, karin.h.taylor@seagate.com

Source: Seagate Technology Holdings plc