Cloud storage subscriptions will increase by 25 percent in 2013, according to a report by IHS iSuppli. Subscriptions rose from 300 million in 2011 to 500 million in 2012. The report predicts that in 2013, that number will grow to 625 million.

More than ever, private individuals and businesses are finding new ways to store information. People who are constantly on the go carry their mobile devices with them and expect to still have access to all of their data. This means cloud storage is not only a nice feature to have. It is a necessity for many.

Because of this reality, major content providers are stepping into the cloud storage market, either directly or through subsidiaries and partners. Apple, Amazon, Google, and Microsoft all have cloud storage options for consumers, and many companies are also providing enterprise-grade solutions for businesses. Moreover, there are also plenty of companies that exclusively specialize in cloud storage, a list that includes Dropbox, Mozy, SugarSync, SpiderOak, and many others.

As more consumers begin to rely on low-powered devices with minimal storage capabilities, more of them will also be willing to pay for storage, rather than settling for the small of amount of free space that most providers offer. This means more bandwidth and connectivity will be necessary for consumers and businesses.

“In an environment where mobile devices like smartphones and media tablets handle broadband data on a near-ceaseless basis, businesses are realizing the importance of cloud services in allowing consumers to manage, store and sync content across their devices,” said Jagdish Rebello, Ph.D., director for consumer and communications at IHS.

Because of what some might call a fundamental shift in the way people view and store data, IHS iSuppli sees the rapid increase in cloud storage subscriptions continuing until 2017. By then it will be a $1.3 billion industry. Companies offering these services will face more competition, and users will expect more standardized security and ubiquitous service across all platforms and devices.