Human beings cannot comprehend very large or very small numbers. It would be useful for us to acknowledge that fact.
– Daniel Kahneman
We have moved from floppy disks and CDs to USB sticks and now, the cloud. Most of us only reflect on this remarkable progress when our phones tell us we’ve run out of storage again.
The larger shift began in the early 2000s. Software and data moved away from local hard drives and company server rooms toward remote data centers accessed over the internet. Amazon Web Services (AWS) helped establish this model at scale.
Artificial intelligence has now added another major source of demand. ChatGPT’s launch in 2022 brought generative AI to a mass audience, while also drawing attention to the infrastructure behind it: large language models require enormous amounts of computing power, storage, networking, and cooling.
The effect is visible in everyday life. A cloud-storage warning appears on your phone; you delete a few old photos and videos; a few months later, it appears again. Eventually, you pay for more storage, that is, more gigabytes.
One gigabyte equals one billion bytes, equivalent to about 300 photos or an hour of standard-definition video. But gigabytes are not especially useful when discussing the world’s data.
A Byte’s Decimal Progression
| Unit | Symbol | Number of Zeros | Value in Bytes |
| Byte | B | 0 | 1 |
| Kilobyte | KB | 3 | 1,000 |
| Megabyte | MB | 6 | 1,000,000 |
| Gigabyte | GB | 9 | 1,000,000,000 |
| Terabyte | TB | 12 | 1,000,000,000,000 |
| Petabyte | PB | 15 | 1,000,000,000,000,000 |
| Exabyte | EB | 18 | 1,000,000,000,000,000,000 |
| Zettabyte | ZB | 21 | 1,000,000,000,000,000,000,000 |
| Yottabyte | YB | 24 | 1,000,000,000,000,000,000,000,000 |
Each base-10-byte unit is 1,000 times larger than the last.
IDC forecasts that the global “datasphere,” or data created, captured, replicated, and consumed, will reach about 221 zettabytes in 2026.1 If global data continues to grow at nearly 25% a year, it could exceed one yottabyte in early 2033, nearly doubling every three years.2
A yottabyte is one byte followed by 24 zeros: 1,000,000,000,000,000,000,000,000.
The precise forecast will change over time, and numbers of this size are hard to visualize. But the direction of travel is clear: the world is generating, transmitting, processing, and retaining vastly more data.
That growth creates greater demand for an entire infrastructure ecosystem, not only for data center operators but also for semiconductor companies, network-equipment providers, electricity producers, fiber networks, and cooling suppliers. The data may be intangible. The infrastructure required to support it is not.
Until next time.
Subscribe for Fresh Weekly Takes
- Weekly market insights
- Perspectives shaped by 30 years of investing
- Unique institutional-quality insights, now available to individuals
What We’re Listening To
This week, we’re listening to Neil Movva, founder of inference company Sail, on Making AI 10x Cheaper from the “Invest Like the Best with Patrick O’Shaughnessy” podcast.
END NOTES
1“Data Generation Volume Worldwide 2010-2029.” IDC, Statista. 30 November 2025.
2Wright, Adam. “Market Forecast: IDC Global DataSphere Forecast, 2026-2030.” IDC. 30 June 2026.
IMPORTANT INFORMATION
The information provided in this document does not constitute investment advice and no investment decision should be made based on it. Neither the information contained in this document or in any accompanying oral presentation is a recommendation to follow any strategy or allocation. In addition, neither is it a recommendation, offer or solicitation to (i) sell or buy any security, (ii) purchase shares in any investment fund that GQG Partners LLC and its affiliates (collectively “GQG”) may sponsor, offer or manage, (iii) establish any separately managed account, or (iv) implement any investment advice. It should not be assumed that any investments made or recommended by GQG in the future will be profitable or will equal the performance of any securities discussed herein. Before making any investment decision, you should seek expert, professional advice, including tax advice, and obtain information regarding the legal, fiscal, regulatory and foreign currency requirements for any investment according to the law of your home country, place of residence or current abode.
This document reflects the views of GQG as of a particular time. GQG’s views may change without notice. Any forward-looking statements or forecasts are based on assumptions and actual results may vary.
GQG provides this information for informational purposes only. GQG has gathered the information in good faith from sources it believes to be reliable, including its own resources and third parties. However, GQG does not represent or warrant that any information, including, without limitation, any past performance results and any third-party information provided, is accurate, reliable or complete, and it should not be relied upon as such. GQG has not independently verified any information used or presented that is derived from third parties, which is subject to change. Information on holdings, allocations, and other characteristics is for illustrative purposes only and may not be representative of current or future investments or allocations.
GQG Partners LLC is a wholly owned subsidiary of GQG Partners Inc., a Delaware corporation that is listed on the Australian Securities Exchange (ASX: GQG). GQG Partners LLC and its affiliates provide certain services to each other.
GQG Partners LLC is registered as an investment adviser with the US Securities and Exchange Commission. Please see its Form ADV Part 2, which is available upon request, for more information.
© 2026 GQG Partners LLC. All rights reserved. This document reflects the views of GQG as of September 2026.
