Optical technique for data storage was driven from the challenges to achieve data storage performance required by the user. The first attempt to address the recording density improvement over HDD using magneto-optic technology started over thirty years ago. Subsequent efforts to develop 15", 12" and 5 and 1/4" WORM disc drives met with limited success. Advances in semiconductor lasers, lithography, and auto focusing and tracking techniques finally allow the development of the Compact Disc to answer the call for improvement in audio recording technology and data distribution in mid to late 1980. Recordable and erasable technology then followed with the introduction of CD-R, CD-RW and MO drives and media. By early 1990, advances in high density recording with the use of shorter wavelength lasers, larger n.a. lenses, improved lithographic and data compression techniques, allows the development of 4.7 GB DVD drives and discs to answer the challenge for recording 2-hour high quality movies on a CD size disc. Recordable and erasable DVD became available in 2000, and Dual Layer DVD was introduced last year . With the advent of HDTV and movie in recent years, Storage of 25 GB data in a DVD disc is needed. Blue-ray and HD-DVD are the leading technologies to answer this challenge. Looking to the future, optical storage areal density of one to two orders of magnitude improvement will be required to compete with HDD which is now reaching 133 Gb/in2 . In addition, high data transfer rate of 1Gb/s, data security, copy protection, ease of use, cost and standards issues sums up the monumental challenges facing the optical recording industry in the years to come. Some of the leading technologies, such as multi-layer, new encoding schemes, volume recording, near-field optics, micro-optics, domain expansion, UV laser, holographic storage, could provide the answers. Meeting these challenges, optical storage could become the dominant recording technology to satisfy the data storage needs for the convergent world of consumer electronics, information, and communication.