Backblaze Accelerates Growth, Fueled by Rising Demand for High-Performance Capacity Storage
Reaching $47 million in revenue, Backblaze has solidified its position as a high-performance capacity storage layer for AI, driving significant growth and delivering on its strategy. The company's B2 self-serve customers have experienced 47% year-over-year revenue growth, with the breadth of this acceleration extending to all customer segments. Notably, net new B2 self-serve customers increased fourfold compared to the same period last year, indicating a strong upmarket momentum.
Backblaze has also seen an increase in deals over $500,000 in annual recurring revenue (ARR), with four such deals closed during Q3 2026. This trend highlights the value of Backblaze's platform in meeting the needs of large data users. The company's focus on delivering high-performance capacity storage is particularly relevant given the growing demand for efficient use of AI infrastructure.
As conversations with customers, AI founders, and infrastructure providers have revealed, data growth continues to exceed expectations, with training models requiring larger datasets and AI applications generating more data. This trend presents a significant opportunity for Backblaze as companies seek ways to improve ROI from their infrastructure spending.
Gleb Budman, Co-Founder, CEO, and Chairperson of the Board, emphasized the growing demand for efficient use of AI infrastructure during the Q3 2026 earnings call, stating, 'Companies are increasingly focused on getting more efficiency and ROI from AI.' He noted that this shift is driving the adoption of open models, routers to select optimal models, and multi-cloud strategies to improve economics.
Backblaze's high-performance capacity tier is well-positioned to meet these evolving needs. By providing a scalable storage solution, Backblaze enables customers to collect, retain, and use more data while optimizing their infrastructure spending. The company serves two primary groups: AI infrastructure companies that require capacity storage for their customers and AI builders who need capacity storage for themselves.
Budman highlighted the importance of delivering value to existing customers, stating, 'While we're continuing to progress in conversations with multiple leading AI infrastructure companies, we believe the best way to build on this opportunity is to deliver for the customers who have already chosen us.' This focus on customer satisfaction and experience is critical as Backblaze continues to scale and meet the evolving needs of its customers.
