Fujifilm Confirms Fivefold Tape Capacity Expansion for AI Data Demand

Fujifilm confirmed Oct. 29 a $63 million project to raise magnetic tape production capacity fivefold as generative AI and cloud services drive exponential growth in data generated worldwide.

The fivefold increase is based on shipment capacity compared with fiscal 2025. Work is planned at the company’s Kanagawa Factory in Odawara during fiscal 2026 through 2028 and will include expanded manufacturing and additional staff.

The project will focus primarily on FUJIFILM LTO Ultrium10 data-storage magnetic tape. The planned project would be Fujifilm’s largest investment to date in facilities dedicated to LTO tape. The company’s expansion plan previously covered by TokenPost included the same investment, capacity goal and timeline; the Oct. 29 announcement confirms that plan.

Magnetic tape can store large datasets at relatively low cost and be physically isolated from networks. Tape’s ability to be isolated from networks is drawing interest as a way to protect data from ransomware. Tape is suited to keeping data for backup and archival purposes, where it does not need to be accessed constantly.

The facility work is scheduled across fiscal 2026 through 2028, with production centered on the LTO Ultrium10 tape product.