AI-Driven Data Surge to Fuel Massive Growth in Cloud Storage, Seagate Survey Reveals

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A global survey commissioned by Seagate Technology indicates that AI adoption will generate unprecedented data volumes, driving a boom in cloud-based storage demand. Business leaders expect cloud storage to more than double in the next three years.

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AI Adoption Driving Unprecedented Data Growth

A recent global survey commissioned by Seagate Technology has revealed that the widespread adoption of artificial intelligence (AI) applications is set to generate unprecedented volumes of data, leading to a significant boom in demand for data storage, particularly cloud-based solutions 1. The survey, conducted by Recon Analytics, sampled over 1,000 business decision-makers across 15 industry sectors and 10 countries, providing insights into the current and future impacts of AI on infrastructure priorities and data management 2.

Cloud Storage Set for Exponential Growth

The study reveals a striking trend: nearly two-thirds (61%) of respondents from companies that primarily use cloud storage expect their cloud-based storage to grow by more than 100% over the next three years 3. This projection aligns with the current reliance on hard drives by cloud service providers, with a recent IDC report estimating that 89% of data stored by leading cloud service providers is on hard drives 1.

Key Findings and Implications

The survey uncovered several critical insights:

  1. AI adoption is widespread, with 72% of surveyed businesses already using AI technology 4.

  2. Storage ranks as the second most important component of AI infrastructure, following security 2.

  3. 90% of AI-adopting businesses believe longer data retention improves AI outcomes 4.

  4. 88% of current AI users believe that adopting Trustworthy AI requires storing more data for longer periods 2.

Industry Perspectives

Roger Entner, founder and lead analyst of Recon Analytics, commented on the findings: "The survey results generally point to a coming surge in demand for data storage, with hard drives emerging as the clear winner. When you consider that the business leaders we surveyed intend to store more and more of this AI-driven data in the cloud, it appears that cloud services are well-positioned to ride a second growth wave" 5.

BS Teh, Chief Commercial Officer of Seagate, emphasized the importance of Trustworthy AI: "With the vast majority of survey respondents saying they need to store data for longer periods of time to improve quality outcomes of AI, we're focused on areal density innovation needed to increase storage capacity for each platter in our HAMR-based hard drives. We have a clear pathway to more than double per-platter storage capacity over the next few years" 3.

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