---
title: "Backblaze Positioned for Growth and Profitability Amid AI-Driven Cloud Storage Demand"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/258476643.md"
description: "Backblaze is positioned for growth and profitability, according to Jason Ader's Buy rating. The company offers cost-effective storage solutions that differentiate it from larger competitors. Its B2 Cloud segment is expected to grow over 30% by fiscal 2025, driven by AI advancements. Strategic changes, including direct sales teams and upskilling, are yielding positive results. The demand for scalable storage solutions is increasing due to AI trends, and management is focused on improving profitability through margin expansion and free cash flow generation, despite ongoing growth reacceleration."
datetime: "2025-09-23T08:15:15.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/258476643.md)
  - [en](https://longbridge.com/en/news/258476643.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/258476643.md)
---

# Backblaze Positioned for Growth and Profitability Amid AI-Driven Cloud Storage Demand

Jason Ader has given his Buy rating due to a combination of factors that highlight Backblaze’s potential for growth and profitability. The company’s competitive edge is evident in its cost-effective and efficient storage solutions, which stand out against larger hyperscaler and neo-cloud offerings. This differentiation is crucial as the cloud storage market experiences growth driven by AI advancements.  
Additionally, Backblaze’s B2 Cloud segment is showing signs of growth reacceleration, particularly with AI customers, and is expected to achieve over 30% growth by the end of fiscal 2025. The company’s strategic changes in its go-to-market approach, including the establishment of direct sales teams and a focus on upskilling, are already yielding positive results. Furthermore, the secular trends in AI and data are increasing the demand for scalable storage solutions, which positions Backblaze favorably. Management’s focus on improving profitability through margin expansion and free cash flow generation further supports the positive outlook, despite acknowledging that growth reacceleration is still in progress.

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