TradingKey – The expansion of AI computing power is driving up storage demand in data centers. Although HDDs receive less attention in AI storage discussions than high-performance storage media such as HBM and NAND flash, they handle the long-term storage of AI training data, inference logs, and model versions.

Morgan Stanley (MS) projects that HDD supply will fall 10%-15% short of demand in 2026, with AI-driven demand growth (40%-50%) far outpacing supply growth (30%-35%), and the shortage persisting until at least 2028.

Currently, Seagate (STX) and Western Digital (WDC) are the two core companies in the global high-capacity HDD market, both benefiting from this AI storage supercycle. So, during the AI storage cycle, between Seagate and…