Fujifilm plans to multiply its magnetic tape production capacity fivefold to meet the storage demand generated by artificial intelligence, according to Nikkei Asia, which describes it as the company’s biggest production expansion in about two decades. The Japanese company is one of the world’s two major LTO cartridge manufacturers, and the plan reinforces tape’s comeback as a data center component in the AI era.
Fujifilm’s magnetic tape plan in 30 seconds
- Fujifilm plans to multiply its magnetic tape production capacity fivefold, according to Nikkei Asia.
- It would be its biggest production expansion in about two decades, driven by AI-related demand.
- 40TB native LTO-10 cartridges have been shipping since January 2026.
- LTO tape capacity shipped grew 57% year over year in the first quarter of 2026.
- Publicly available sources do not detail investment, timelines, or factories.
Reporting from Nikkei Asia and DIGITIMES frames the plan in the context of AI: training models requires retaining enormous volumes of data for years, and tape is the cheapest, lowest-power medium for storing information that isn’t accessed daily. Details of the plan, such as investment, timeline, or the plants involved, were not available in the open versions of those reports, and cloudnews.tech has not found an official Fujifilm statement with that information.
Tape Grows Again With AI
The plan arrives as the market is on the rise. According to LTO Program data cited by Gadget Review on Yahoo Tech, 176.5 exabytes of LTO tape capacity shipped in 2024, a record and 15.4% more than the previous year. In 2025 the figure fell 9%, to 160.3 exabytes, still the format’s second-best year ever, and in the first quarter of 2026 it grew again, up 57% year over year, driven by demand for LTO-9 and the first shipments of LTO-10. cloudnews.tech covered that rebound in AI Is Reviving Magnetic Tape Too: LTO Shipments Grow 57% in 2026.
On the product side, Fujifilm began shipping its 40TB native LTO Ultrium 10 cartridge in January 2026, up to 100TB with compression, according to Tom’s Hardware. The company achieved this with a new magnetic particle formulation and a thinner aramid base film, which allows roughly 30% more tape to fit in the same cartridge, as cloudnews.tech explained when it reported that Fujifilm raised the stakes with 40TB LTO-10.
Cost, Power, and Isolation
The arguments in favor of tape are well known. A stored cartridge uses no power, its cost per terabyte is low, and because it stays disconnected, it offers an isolated copy against ransomware. On its website, Fujifilm highlights that tape reduces CO2 emissions in long-term storage, citing a chart based on a Brad Johns Consulting study on retaining 100PB for ten years, and notes that it developed technologies with IBM to eventually reach 576TB per cartridge.
Tape also has limits: access is sequential and slow, it requires drives that, according to Tom’s Hardware, cost more than $10,000, and managing it requires specific expertise. That’s why it doesn’t compete with disk or flash for active data, but rather in cold storage, the last tier of a layered storage architecture. If Fujifilm’s expansion is confirmed on the terms reported, it will be a sign that major cloud operators expect to keep accumulating cold data at the pace AI sets.
Frequently Asked Questions
What is Fujifilm planning for magnetic tape?
According to Nikkei Asia, multiplying its production capacity fivefold, its biggest expansion in about two decades, to meet AI-related storage demand.
How much does a Fujifilm LTO-10 cartridge store?
40TB uncompressed and up to 100TB with compression. It has been shipping since January 2026.
Why is demand for tape growing?
AI generates and retains large volumes of data, and tape is a cheap, low-power, disconnected medium for archiving it.
How much did the LTO tape market grow?
Shipped capacity grew 57% year over year in the first quarter of 2026, after 160.3 exabytes in 2025.
Sources:
- Nikkei Asia: As AI revives magnetic tape, Fujifilm plans biggest buildup in two decades
- DIGITIMES: Fujifilm to boost magnetic tape capacity 5x as AI data storage demand grows
- Fujifilm: Magnetic tape helps reduce CO2 emissions in long-term data storage
- Tom’s Hardware: Fujifilm to begin shipping LTO Ultrium 10 40TB tape cartridges in January 2026
- Yahoo Tech (Gadget Review): AI needs so much data that magnetic tape is booming again
