Object storage has fundamentally changed how unstructured data is handled.
Many modern use cases — such as big data analytics, media streaming or AI — have only become possible thanks to cloud-based object storage. That’s because this storage model scales virtually without limit while remaining cost-effective.
This article explains how object storage differs from other storage types, why it’s particularly relevant in hybrid cloud environments and which best practices to keep in mind.
Definition: What is object storage?
With object storage, files are saved as discrete objects. Each object contains the actual file, associated metadata and a unique identifier. This allows data to be stored in a flat structure and distributed across multiple storage nodes.
Object storage excels at handling unstructured data such as videos, audio files or sensor data. These kinds of data can be stored exactly as they are received, without having to be transformed into a specific format first.
Object storage is used primarily in cloud environments, where it is commonly referred to as cloud object storage. Using APIs, different storage environments can be connected, making it a natural fit for modern hybrid cloud solutions.
The car park analogy: the characteristics of object storage can be illustrated using a simple analogy. Traditional storage solutions function like a conventional car park: at some point, it reaches full capacity and no more cars can be parked. And the fuller it gets, the longer it takes to find a free space.
Object storage, by contrast, works more like a valet parking service. You hand your car over to a member of staff, who takes care of finding a parking spot. In return, you receive a ticket — your unique ID. You don’t need to know where exactly the car is parked, nor do you waste time searching for a space.
One of the best-known object storage providers is Amazon, with its product Amazon S3 (Simple Storage Service). By integrating S3 with existing storage systems, organisations can implement effective data tiering. Cold data can be offloaded from expensive production storage to a lower-cost S3 bucket — for example, using NetApp ONTAP S3 or Proact Cloud Object Storage, see our blog post: ‘How to offload cold data and cut costs’.
At Proact, we work with our partner NetApp to implement every conceivable on-prem and hybrid cloud storage scenario. If you need support in this area, don’t hesitate to get in touch.
Key statistics
Here are some revealing figures about the evolving storage needs of businesses:
- In 1986, the total volume of digital data worldwide was just 2.6 exabytes. Thirty years later, in 2016, it had grown to 16 zettabytes — a significant increase, but still only a taste of what was to come. According to market research firm IDC, the global data volume is expected to skyrocket to an incredible 163 zettabytes by 2025 — an explosive rate of growth.
- In 2023, the global market for cloud object storage was estimated at $8.14 billion. By 2032, this figure is projected to rise to $22.75 billion.
- Unstructured data now accounts for around 80 per cent of all stored information.
- Storage requirements for unstructured data are increasing by 55 to 65 per cent every year.
- Amazon S3, one of the leading object storage providers, reported hosting more than 400 trillion objects as of November 2024.
One thing is clear: object storage plays a critical role in managing this explosive growth in data.
Comparing the three types of storage
Let’s look at how object storage differs from other storage models.

Block storage
With block storage, files are split into equally sized blocks, each assigned a unique ID. These blocks are stored independently and can be distributed across multiple physical storage locations. When needed, the raw data blocks can be reassembled easily based on their identifiers.
Block storage is typically used for structured data. It’s particularly suitable for database applications, as data can be retrieved very quickly. ERP systems are another common use case. However, unlike object storage, block storage requires relatively high administrative effort and offers more limited scalability.
File storage
File storage uses a hierarchical structure to organise data. This involves folder systems similar to those used in traditional operating systems. To locate a file, the user (or the system) must follow a specific path through the directory structure. These paths can become very long, which may impact efficiency and performance.
On the other hand, many users find file storage intuitive and easy to use, since the organisational structure is clearly visible at a glance. Data can also be easily shared with others by granting access to folders.
File storage is the preferred format for DAS (Direct-Attached Storage) and NAS (Network-Attached Storage) systems.
TCP/IP is typically used as the transport protocol. Linux devices usually rely on NFS, while Windows systems tend to use SMB/CIFS.
File storage is well-suited to smaller volumes of data, while object storage is generally used for very large datasets. File storage systems often store data locally, whereas object storage solutions typically operate across geographically distributed data centres. Traditional file storage systems usually max out at a few petabytes. In contrast, object storage can scale to exabyte levels and beyond.
Object storage
Unlike file storage, object storage does not use directory trees (see, for example, NetApp StorageGRID). Nor are files broken down into blocks, as with block storage. Instead, each file is stored as a discrete object, resulting in a flat storage structure.
To make the data searchable, each object is enriched with metadata and assigned a unique ID. Access is provided via RESTful APIs, using HTTP or HTTPS.
Metadata might specify, for example:
- the file name or contents
- associated projects
- location of creation
- access permissions
- usage policies
- related costs
Metadata also plays an important role in data management. Tags can be used to enable automated data tiering or deletion. Metadata can also be used to generate graphs showing, for instance, how quickly a particular data class is growing.
To search through metadata, tools similar to Google Search can be used, such as Amazon S3 Select, Elasticsearch or Apache Solr.
Examples of APIs include the Simple Storage Service (S3) API from Amazon Web Services (AWS), the OpenStack Swift API and the Cloud Data Management Interface (CDMI) from the Storage Networking Industry Association (SNIA).
Object storage is ideal for static use cases where data is written once and read many times, such as backups, log files or media archives. For dynamic use cases where data changes frequently, object storage is not always the best fit. In such cases, block storage solutions (e.g. NetApp ASA) may be more appropriate.
Advantages of object storage
Object storage offers a range of benefits for businesses.
Scalability
Object storage is easy to scale, especially in combination with cloud solutions. Even petabyte- or exabyte-scale workloads are no problem.
Cost savings
Cloud-based object storage can help reduce costs. There’s no need to purchase or maintain your own hardware. You also don’t have to provision for occasional peak loads — unused hardware won’t sit idle and gather dust.
Geo-distribution
In the past, data was mostly generated in fixed locations. Today, much of it is created ‘on the go’ — by professional cameras, IoT devices, autonomous vehicles and so on. These mobile data streams put a strain on traditional network infrastructures.
Object storage addresses this challenge by distributing data across multiple geographically dispersed storage nodes. This allows processing to take place closer to where the data is generated.
Geo-distribution also improves resilience, as businesses are no longer dependent on a single location.
Pay-as-you-go
Cloud-based object storage comes with a flexible pricing model. Using storage as a service, you can subscribe to the exact storage capacity you need and only pay for what you actually use.
Access speed
Hierarchical file storage systems can make file access cumbersome. Object storage, with its flat and easily searchable structure, enables faster data access.
Core use cases
Object storage enables a wide range of use cases. Here are the most important ones:

Managing unstructured data
If your business works with large volumes of unstructured data, such as sensor data, object storage is an ideal solution. New data can be stored quickly and retrieved with ease.
Streaming
Object storage is well-suited to delivering video files without delays, making it a perfect fit for streaming services and e-learning platforms.
Backups
Modern cloud backups are almost always based on object storage systems. They are easy to scale, cost-efficient and offer a high level of redundancy.
Analytics
Object storage forms the backbone of many analytics use cases, including market forecasting and customer behaviour analysis. In manufacturing, predictive analytics can be used to determine which machines are likely to require maintenance next. In healthcare, it can help forecast the course of an illness.
Media companies
News agencies often reuse the same content across multiple formats — TV, websites and mobile streaming. These format variations lead to a rise in data volumes, which is best handled using object storage.
Internet of Things (IoT)
IoT devices generate enormous volumes of data that must be stored and analysed. Object storage is ideally suited to this task. One example is autonomous vehicles, where a wide array of sensors constantly collect critical information. Object storage ensures that this data can be safely stored and processed.
Cloud-native applications
Cloud-native applications are developed specifically for the cloud. Examples include SaaS offerings like Salesforce or Slack. When user numbers spike, providers can scale up their capacity with ease using object storage.
Long-term archiving
Certain organisations are legally required to retain data for many years — for instance, financial institutions and their customer transaction records. Object storage is ideal for these scenarios, as it allows for cost-effective long-term data retention.
Artificial intelligence (AI)
Large language models (LLMs) require vast amounts of storage space for training data. Increasingly, this data comes in various media formats like text, images and video. Object storage scales effortlessly and handles heterogeneous data formats with ease.
Many cloud providers also offer direct integration between their object storage platforms and AI services, simplifying the overall workflow.
Amazon S3
Amazon Simple Storage Service (Amazon S3) is perhaps the best-known object storage solution in the public cloud. At Proact, we offer this service under the name Proact S3 Cloud Object Storage. Here are the key reasons we recommend it to our customers:
Data durability
Amazon S3 offers a data durability rate of 99.999999999% (eleven nines). Data is stored redundantly across at least three availability zones. If one or more devices fail, replacement infrastructure is provisioned automatically. In addition, data integrity is continuously verified using checksums.
Multiple storage classes
Amazon S3 provides access to a wide range of storage classes. Whether you’re looking to optimise access times, improve resilience or reduce costs, there’s a storage tier to match. And thanks to its pay-as-you-go model, you only pay for what you actually use.
Data security
Amazon S3 includes built-in authentication tools that allow you to define organisation-wide policies and manage user groups. The platform also supports various compliance frameworks and provides audit functionality.
Flexible data management
Amazon S3 gives your admins the ability to classify and visualise data by workload. This helps optimise storage usage, control costs and meet security requirements. Amazon S3 is particularly effective when it comes to automated tiering or deleting obsolete data.
Analytics
A key advantage of Amazon S3 is that you can run analytics applications directly on your data, without having to move it to a dedicated analytics database first. To do so, you have access to tools such as Amazon Athena and Amazon Redshift Spectrum.
Hybrid cloud data storage
The Amazon S3 API is ideally suited to hybrid cloud environments. It enables seamless integration between different storage platforms.
Large user community
Amazon S3 is used by businesses worldwide. As a result, there’s a wealth of experience and best-practice knowledge available.
Looking to leverage the benefits of Amazon S3, NetApp ONTAP S3 or Proact S3?Get in touch with our experts. We’ll handle the entire implementation for you. That includes analysing your storage requirements, selecting the appropriate storage class, transferring your data and optimising your operating costs. And of course, we’ll be there to support you every step of the way. Reach out today!
Object storage in the hybrid cloud
Object storage is an excellent fit for hybrid cloud environments, especially for SMEs, where such architectures are increasingly common. With the right APIs, different storage environments can be seamlessly integrated. The S3 standard in particular is widely supported. Many managed service providers offer S3-compatible solutions that can be embedded directly into both private and public cloud infrastructures.
Hybrid clouds can be managed via a central interface, allowing data to be reallocated and duplicated as needed. A key advantage: sensitive data can be kept securely within the protected private cloud, while less critical data can benefit from the scalability of the public cloud.
Another advantage of object storage in hybrid cloud setups: infrequently accessed data can be moved to lower-cost storage classes, while performance-critical data can remain in a local private cloud environment. This allows SMEs to optimise both performance and cost efficiency.
In addition, multiple object storage providers — such as AWS, Azure and Google Cloud — can be used simultaneously. This is referred to as a multi-cloud approach. The benefit: you can take advantage of provider-specific features and services in parallel.
Good to know: with NetApp ONTAP, you can activate Amazon S3 on a NetApp cluster using a feature called FabricPool. This enables you to offload your primary storage systems by automatically tiering inactive data blocks to a more cost-effective target. Proact is one of the world’s largest NetApp partners and will be happy to implement this solution for you.
Best practices
Follow these best practices to ensure the success of your object storage solution.
1. Use versioning tools
Your storage provider should offer versioning capabilities. These tools allow you to restore accidentally deleted files or roll back unwanted changes. Pay close attention to how far back the version history extends, especially in industries with strict compliance requirements.
2. Take advantage of lifecycle management tools
Your provider should also offer access to lifecycle management features. These tools automatically evaluate data based on its age and frequency of use. If a file is no longer actively used, it can be automatically moved to a more cost-effective storage tier.
Be sure to define clear data policies to distinguish effectively between hot, warm and cold data.
3. Organise your metadata
The more effort you invest in managing metadata, the greater the payoff. Well-organised metadata makes files easier to locate, improving productivity for users. It also lays the groundwork for large-scale analytics initiatives.
4. Consider erasure coding
Erasure coding helps prevent data loss and reduces your overall storage footprint.
Files are broken into segments and distributed across multiple storage nodes. These segments are encoded in such a way that only a portion of them is required to reconstruct the original file.
Think of it like a jigsaw puzzle: even if some pieces are missing, you can still recognise the complete picture.
Compared to full replication, erasure coding consumes less storage space while still providing a high level of redundancy — since segments are stored across diverse locations within the network.

5. Use IAM solutions
Combine your object storage with an identity and access management (IAM) solution. This allows your administrators to control who has access to which data, set up user groups and define organisation-wide policies.
6. Restrict access by IP address
Protect your data using IP whitelisting. This means that only devices with approved IP addresses can access your object storage nodes. All other requests are blocked automatically.
7. Test the user interface
Don’t overlook the importance of usability. Test the interface in advance to see how intuitive it is and whether it can be adapted to suit the needs of your users.
Implementing object storage – with Proact
Looking to harness the benefits of object storage for your organisation, and need a reliable partner to help you get started? Our Proact experts are here to support you every step of the way. We’re an experienced S3 reseller and one of the world’s largest NetApp partners. That means we’re able to implement virtually any cloud storage scenario you can imagine.
To create a tailored and cost-optimised storage solution, we follow a four-phase onboarding process:
1. Assessment
First, we work closely with your in-house team to understand your specific storage requirements. What data formats do you use — and how frequently? What levels of data growth are expected? Are there seasonal fluctuations in data volumes? We’ll clarify all of these questions.
2. Strategy
Next, we design your new object storage solution. We ensure it’s scalable, secure and cost-efficient while placing special emphasis on availability, so downtime is kept to an absolute minimum.
3. Implementation
We then migrate your data, for example, to Proact Cloud Object Storage. Our goal is to minimise disruption to your ongoing operations. We also optimise storage classes and implement automated data tiering.
4. Monitoring & support
Our work doesn’t stop after go-live. We provide continuous monitoring and are available to help with any support requests you may have.
In short: Proact is your trusted data expert.
Sounds interesting? Get in touch today for a free consultation. We look forward to hearing from you!