Artificial Intelligence (AI) Powered Storage System Market Forecasts to 2030 – Global Analysis By Offering (Hardware, Software and Other Offerings), Storage System (Direct Attached Storage Systems, Network Attached Storage Systems and Other Storage System

Artificial Intelligence (AI) Powered Storage System Market Forecasts to 2030 – Global Analysis By Offering (Hardware, Software and Other Offerings), Storage System (Direct Attached Storage Systems, Network Attached Storage Systems and Other Storage Systems), Storage Medium, Storage Architecture, End User and By Geography

According to Stratistics MRC, the Global AI Powered Storage Market is accounted for $24.26 billion in 2023 and is expected to reach $113.74 billion by 2030 growing at a CAGR of 24.70% during the forecast period. Artificial intelligence (AI)-powered storage is a term used to describe storage solutions that use AI technologies to improve data storage system performance, efficiency, and management. These systems analyze data patterns, forecast usage, and optimize storage resources in real-time by using machine learning algorithms. With the help of this creative solution, businesses can improve the responsiveness, scalability, and affordability of their storage infrastructure.

Market Dynamics:

Driver:

Data center modernization

Businesses look to improve their infrastructure to handle the growing demands of AI workloads. Large datasets are produced by AI applications, necessitating effective storage options for speedy access and analysis. Improved performance, scalability, and responsiveness are made possible by modernizing data centers with AI-powered storage solutions, which also optimize data processing for AI algorithms. These solutions frequently make use of cutting-edge technologies, like predictive analytics machine learning algorithms, to improve data management and guarantee smooth integration with developing AI applications.

Restraint:

Data security and privacy concerns

Large-scale sensitive data collection and analysis by these systems increases the possibility of unwanted access and security breaches. To reduce these risks, it becomes essential to have strong encryption, access controls, and compliance with data protection laws. The difficulty is striking a careful balance between protecting people's privacy and utilizing AI's potential to optimize storage. Increased awareness of data privacy concerns and stricter regulations highlight the necessity of having robust security features in AI-powered storage solutions.

Opportunity:

Smart data backup and recovery

By utilizing cutting-edge algorithms and machine learning, intelligent data backup and recovery offers a substantial opportunity in the AI-powered storage market. Artificial intelligence (AI) can improve data security by anticipating possible threats and streamlining backup plans. Through intelligent analytics and automation, AI-driven recovery solutions facilitate quicker and more precise data restoration, improving overall system resilience. Furthermore, the use of AI in backup and recovery procedures gives organizations a competitive edge by meeting their changing needs for managing and protecting their vital data.

Threat:

Vendor lock-in

In the AI-powered storage market, vendor lock-in refers to the danger of becoming unduly reliant on the proprietary technologies and formats of a single provider. Organizations implementing AI storage solutions might incorporate vendor-specific, specialized formats or algorithms. This can make it difficult to switch providers, limiting flexibility and resulting in expensive switching expenses. In the context of AI storage, the risk of vendor lock-in highlights the value of open-source solutions and standardization, which free users from vendor lock-in and promote a more competitive and interoperable market.

Covid-19 Impact:

There is a growing need for scalable and effective storage solutions to handle the spike in data volume as remote work becomes more common. AI-powered storage is being used by businesses to improve security, accessibility, and data management. Investments in cutting-edge storage technologies have been fuelled by the necessity for a solid infrastructure to support AI and machine learning applications. Additionally, the market has recovered robustly despite early supply chain disruptions as companies prioritize digital transformation initiatives, which is driving up the adoption of AI-powered storage solutions.

The hard disk drive segment is expected to be the largest during the forecast period

The Hard Disk Drive (HDD) segment has seen strong growth because of its high storage capacities and affordability, which enable it to meet the enormous data requirements of AI applications. For enterprises looking for scalable storage solutions, HDDs are the better option because they provide a dependable and affordable means of storing large datasets produced by AI algorithms. Furthermore, the performance of HDDs has also been improved by developments in technology, such as increased areal density and faster rotational speeds, which are in line with AI's intensive data processing needs.
The network attached storage systems segment is expected to have the highest CAGR during the forecast period

The growing need for effective and scalable storage solutions in the artificial intelligence era is driving the network attached storage systems segment. Large dataset handling requires high-speed data access and storage capabilities, which are provided by NAS systems with seamless integration with AI workflows. Strong and easily accessible storage solutions are becoming more and more necessary as AI applications are being used in a wider range of industries, including manufacturing, healthcare, and finance. Because of their improved data management capabilities, NAS systems are becoming essential for businesses implementing AI projects, which have led to the significant growth this market segment has seen.

Region with largest share:

North America has played a significant role in the global AI industry, and the region's growth in AI-powered storage solutions is due to the fact that artificial intelligence is being adopted more widely in a variety of industries. The region is seeing an increase in the use of AI-powered storage solutions due to region’s strong technological infrastructure, large R&D investments, and vibrant start-up ecosystem. North America's AI-powered storage market is predicted to grow steadily due to the region's increasing need for sophisticated data management and analytics capabilities. Further, this will encourage innovation and technological advancements in storage technologies of this region.

Region with highest CAGR:

The market for AI-powered storage has grown significantly in the Asia-Pacific region, primarily due to the region's increased adoption of cutting-edge technologies and the region's widespread digital transformation. The incorporation of artificial intelligence into storage systems has been facilitated by the increase in demand for effective data management solutions. This growth has been further fuelled by expanding cloud infrastructure, a rapidly developing IT landscape, and rapid economic development. Leading nations like China, India, and Japan are utilizing AI-powered storage to boost scalability, optimize resource usage, and improve data analytics.

Key players in the market

Some of the key players in AI Powered Storage market include Advanced Micro Devices, CISCO, Datadirect Network, Dell Technologies, Flextronics International, Hitachi, HPE , IBM, Lenovo, Micron Technology, NetApp, NVIDIA Corporation, Pure Storage, Samsung Electronics, Seagate Technology PLC, Tintri , Toshiba and Western Digital.

Key Developments:

In December 2023, Dell is collaborating with NVIDIA to validate PowerScale with NVIDIA DGX SuperPOD, an AI infrastructure solution. This collaboration promises a validated blend of NVIDIA DGX systems, Dell PowerScale storage, and advanced networking technologies to deliver faster and more efficient AI storage. Notably, Dell's PowerScale is set to be the first ethernet storage solution validated on NVIDIA DGX SuperPOD, ensuring customers access to industry-leading network-attached storage for their AI initiatives.

In October 2023, Seagate Technology and Perifer, announced a new on-premises solution for scaling out object storage. Integration between Perifery Swarm and Seagate Exos CORVAULT provides users in high-growth edge markets, including media and entertainment, health care, retail, and manufacturing, with a high-performance, scalable, and secure object storage solution that dramatically lowers CPU requirements, reduces costs, and improves the end-user experience.

Offerings Covered:
• Hardware• Software• Other Offerings
Storage Systems Covered:
• Direct Attached Storage Systems • Network Attached Storage Systems • Storage Area Network • Other Storage Systems
Storage Mediums Covered:
• Hard Disk Drive• Solid State Drive• Other Storage Mediums

Storage Architectures Covered:• Block Storage • File Based Storage • Object Based Storage • Other Storage Architectures
End Users Covered:• Enterprises
• Government Bodies • Telecom Companies • Cloud Service Providers • Other End UsersRegions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
JapanChinaIndiaAustralia
New Zealand
South Korea
Rest of Asia Pacific• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances