AI Brings Back the Magnetic Tape: Fujifilm Plans Biggest Expansion in 20 Years

Fujifilm will increase production of magnetic tape on a scale not seen in two decades. The reason: artificial intelligence (AI) has created a new demand for this old storage technology. Magnetic tape, once used for music and video cassettes, is now used to store large amounts of computer data. Data centers—large buildings full of computers—need a cheap and reliable way to save information. Tape is still one of the best options. It costs less than hard drives and uses less energy. The rise of AI has made this demand grow quickly. AI systems need to store massive amounts of data, and companies are buying more tape to keep it safe. Fujifilm says it will build new production lines to meet this demand. The company did not say exactly how much it will invest or when the new capacity will be ready. But the move marks a major shift. For years, magnetic tape was seen as outdated. Now, it is becoming important again. Fujifilm is one of the few companies that still makes magnetic tape for data storage. With this expansion, it aims to hold its lead in a market that is growing again.