In his blog post, Mark Bieberich, Vice President of Portfolio Marketing at Ciena, discusses the increasing demand for ultra-scalable, automated Data Center Interconnect (DCI) and cloud on-ramps driven by hyperscalers’ regional expansions and the growth of subsea routes.
The rise of digital transformation and AI has led to a surge in the need for high-capacity, low-latency connectivity, which is where wavelength services, also known as wave services, play a crucial role. These services provide dedicated, high-capacity connections over shared optical fiber infrastructure, facilitating connectivity between data centers, cloud regions, and across continents via submarine and terrestrial networks.
Factors such as AI-driven data center expansion, the growth of cloud services, and data sovereignty concerns are shaping the wave services market landscape. This shift towards a denser and modernized global connectivity fabric is expected to continue in the coming years.
The demand for data center connectivity is further fueled by AI, with experts predicting that a significant percentage of new data center facilities will be dedicated to AI workloads by 2030. The decentralization of AI compute tasks, such as training and inference, is leading to the construction of data centers in remote areas with more power availability, while also requiring low-latency, high-capacity connectivity for distributed compute sites. This trend calls for collaboration across the ecosystem to meet the evolving demands of AI applications.