AI-Demand-Driving-HDD-and-SSD-Price-Surge-Industry-Insights By Saotosh Varghese
Artificial intelligence is changing the scale at which data is created, stored, and processed across the world.
Enterprises and hyperscalers are rapidly expanding their storage infrastructure to support AI training and analytics workloads.
In this exclusive conversation, Santosh Varghese shares his perspective on rising storage demand. He discusses increasing HDD and SSD prices. He also talks about supply challenges affecting enterprises. He explains how organizations in the Middle East must prepare their storage infrastructure. This preparation is essential for the next phase of AI-driven digital growth.
SANTOSH VARGHESE – Managing Director of TOSH NXT TECH VENTURES FZCO
Santosh Varghese is a seasoned technology leader and global business strategist with over 36 years of experience in the ICT industry, recognized for driving growth, transformation, and leadership excellence across international markets.
At Toshiba, he served in senior leadership for 18 years as General Manager & Vice President – Middle East and Africa, overseeing operations across 40 countries. Under his leadership, the region achieved significant market expansion, strategic partnerships, and operational excellence across diverse and complex markets.
Based in Dubai for the past 29 years, Santosh has played a pivotal role in strengthening technology ecosystems and building high-performance regional teams across the MEA region.
April 2024 – Setup own business venture Tosh NXT Tech Ventures Fzco , managing business and technology development for Toshiba semiconductors and storage products and Kioxia NAND Flash Memory Products for the Middle East & Africa
Q&A with Santosh Varghese
Uptake of AI implementation and execution by Enterprise apart from Hyperscalers increased the need for NAND Flash Storage , with the demand increase and slow production facilities for SSD and DRAM , demand of HDD also has increased to store data for AI training and Learning across AI Implementation
Global demand is still high , prices are driven by global demand not regional demand . ME is just 6% of the global share. Demand will be impacted in ME region especially in GCC due to blockage of Air and shipping route
Demand vs supply issue . With 166 ZB of data to be produced by 20267 demand for storage will be high
Geopolitical risk adds to the problem of low availability with increase in logistics cost
Currently availability and longer delivery lead time is delaying Enterprise AI/Data Storage implementation.
Planning and execution of the inventory for the their AI execution
No , Price per GB is still high with the current shortage its gone still higher , its approximately around 16X due to the current shortage in NAND flash memory
HDD is mainly used for Cold storage . Data that aren’t frequently used are stored in HDD and Data that is frequently used is stored in SSD . Hybrid Model
Yes , due to high cost per GB between HDD vs SSD and higher capacity for HDD
Toshiba Memory is now KIOXIA. Kioxia now has BiCS Flash Concept , which is a 3D NAND Technology , currently it uses 218 layers and Gen 8 . It’s a 3D vertical flash memory cell structure enabling it to surpass the capacity of mainstream 2D flash memory and enhance the reliability of write/erase endurance while boosting write speeds . The latest generation of BiCS flash memory features 218 layers and CBA (CMOS directly Bonded to Array )wafer bonding technology with greater bit density.
Data is the new currency . Business uses data for analysis for better decision making. Its important to have your own data center . TOSH NXT has pioneered a concept called BYODC : Build your own Data Center . Its and Ecosystem of Vendor (Toshiba , Distributor and System Integrators) that help business build their On-prem /Cloud Data Center by integrating various best of the breed components including Toshiba Enterprise Storage.
Toshiba Manufacturers HDD , Kioxia manufactures NAND Flash Memory that includes SSD . Toshiba /KIOXIA was the inventor of NAND Flash Memory in 1987. Toshiba Has been in the HDD Industry since 1967 . Its one of the top 3 brands in its category . Recently announced a capacity of 30TB in a single HDD
Capacity growth is exponential considering the need for Data storage , current road Map and technology talks about 40 TB on a single HDD
Plan and execute your data storage strategy. BYODC : Build Your Own Data Center.
With the current trend in Data Storage Toshiba expect a double-digit growth in 2026 , sustaining its high market share in the MEA region.
Conclusion
The rapid expansion of artificial intelligence and data-driven applications is reshaping the global storage landscape. Enterprises are now obliged to rethink their infrastructure strategy to support massive data growth and advanced analytics workloads.
As highlighted by Santosh Varghese, planning storage architecture early is crucial. Organizations will need to choose either hybrid models or on-premise data centers. This decision will be essential for remaining competitive in the AI-driven economy.
Estimated reading time: 4 minutes
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