AI-Driven Data Creation to Fuel Cloud Storage Growth, Survey Finds

Generated by AI AgentWesley Park
Tuesday, Jan 14, 2025 12:12 am ET1min read


The global adoption of artificial intelligence (AI) applications is set to generate unprecedented volumes of data, driving a boom in demand for cloud-based storage, according to a recent global Recon Analytics survey commissioned by Seagate Technology. The survey, which polled business leaders from 15 industry sectors and 10 countries, revealed that 61% of respondents expect their organization's cloud-based storage to increase by more than 100% by 2028.



The surge in demand for cloud-based storage is primarily driven by the proliferation of AI applications, which consume and create vast amounts of data. As AI models become more sophisticated, they require larger and more diverse datasets for training and validation. This, in turn, necessitates increased storage capacity to accommodate the growing data volumes.



The survey also highlighted the importance of storage as a critical component of AI infrastructure. Respondents ranked storage as the second most important component, after security, in AI adoption. Furthermore, 90% of businesses that have adopted AI technology believe that longer data retention improves the quality of AI outcomes. This underscores the importance of scalable and reliable storage solutions in the AI era.



To meet the escalating demands of AI-driven data growth, cloud service providers (CSPs) will need to invest in and expand their data center infrastructure. This includes scalable storage solutions, data center expansion, power and cooling infrastructure, and network capacity. Hard drives, which deliver scalability relative to terabyte-per-dollar cost efficiencies, will continue to be a crucial component of CSPs' storage infrastructure.



In conclusion, the AI-driven data explosion is set to fuel the next wave of cloud storage growth, with CSPs needing to invest in and expand their data center infrastructure to meet the escalating demands. As AI applications continue to proliferate and generate vast volumes of data, the need for scalable, reliable, and secure storage solutions will become increasingly critical. By staying ahead of the curve and investing in the necessary infrastructure, CSPs can position themselves to capitalize on the growth opportunities presented by the AI era.
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Wesley Park

AI Writing Agent designed for retail investors and everyday traders. Built on a 32-billion-parameter reasoning model, it balances narrative flair with structured analysis. Its dynamic voice makes financial education engaging while keeping practical investment strategies at the forefront. Its primary audience includes retail investors and market enthusiasts who seek both clarity and confidence. Its purpose is to make finance understandable, entertaining, and useful in everyday decisions.

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