Fujifilm to invest $63 million to quintuple LTO tape production capacity
Fujifilm announced a roughly 10 billion yen ($63 million) investment to increase magnetic tape production capacity fivefold compared to fiscal 2025 levels, with the expansion running from fiscal 2026 through 2028 at its Kanagawa Factory in Odawara. The funds will go toward manufacturing expansion and hiring additional staff, mainly to produce its newest LTO Ultrium10 tape product.
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Fujifilm says the investment responds to surging data archiving needs driven by generative AI, suggesting cloud and data center operators are leaning more heavily on tape as a cost-effective way to store massive data volumes long-term. The move indicates that despite its obsolescence for consumers, tape remains a growing niche in enterprise infrastructure, and this expansion could position Fujifilm to capture more of that demand as AI-driven data volumes keep climbing.
- Fujifilm will invest about $63 million to boost tape production capacity fivefold versus fiscal 2025 levels.
- The expansion targets the Kanagawa Factory's Odawara site and will run from fiscal 2026 to 2028.
- The investment primarily supports production of the newest LTO Ultrium10 tape amid rising AI-driven data archiving demand.
Fujifilm LTO Ultrium Data Cartridge Tape — If large-scale, reliable archival storage interests you, Fujifilm's LTO Ultrium tapes are the same lineage of tech driving the company's massive production expansion for AI-era data backup. They're a practical way for small businesses or serious home labs to experiment with cold storage archiving outside the cloud.
See Fujifilm LTO Ultrium Data Cartridge Tape on Amazon → Affiliate link — we may earn a commission on purchases, at no extra cost to you. Product picked by AI based on this article; it is not a tested recommendation.Source: arstechnica.com, 2026-10-30
Published there as: “Fujifilm to boost tape production 5x as AI fuels archiving demand”
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