Fujifilm to invest ¥10 billion to increase magnetic tape capacity fivefold

Fujifilm has announced an investment of approximately ¥10 billion, roughly $63 million, to expand its magnetic data storage tape production capacity by five times. The expansion, scheduled to take place between fiscal 2026 and fiscal 2028, will occur at the company’s Kanagawa Factory, Odawara site.

The company cited the exponential growth of data driven by generative AI and cloud computing as the primary catalyst for this move. Fujifilm intends to focus on its latest-generation FUJIFILM LTO Ultrium10 products to meet the rising demand from cloud service providers and data center operators for long-term, economical data archiving.

Magnetic tape is increasingly utilized for its ability to store massive datasets at a low cost and its capacity for air-gapping. By physically disconnecting tape from networks, organizations can provide an additional layer of protection against cyberattacks and ransomware.