That's because more people will use AI chatbots and agents, which will talk in turn to still more AI agents—and all that requires more data, computing and back-end technology systems like networking.
Networking is considered the "plumbing" that moves data and applications inside and between data centers, as well as between data centers and internet-connected devices.
"The amount of traffic that's starting and will continue to be generated with AI, where you get into a machine-to-machine environment, that amount of traffic is going to be monumental," said Chris Sharp, chief technology officer of data center operator Digital Realty.
Chip giant Nvidia, networking equipment maker Cisco, data center providers, and internet carriers and exchanges like Lumen Technologies and DE-CIX are eyeing opportunities in a network revamp, which could include gear upgrades, new software tools, and working with network providers to increase capacity and capability.
Cisco last week reported lower quarterly revenue and profit, but noted demand for infrastructure boosted its results.
The $34.61 billion global data center networking market is forecast to reach $118.94 billion by 2033, according to market research firm Straits Research.
Sales of data center switches, which route traffic, could nearly double over the next few years, and sales of back-end switches, which connect AI chips, could quadruple, BNP Paribas said.
Global business investment in upgraded AI data center switches alone—which can handle more data than traditional switches—is expected to grow from $127.2 million this year to $1 billion by 2027, according to International Data Corp.
この記事は Mint Mumbai の November 21, 2024 版に掲載されています。
7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。
すでに購読者です ? サインイン
この記事は Mint Mumbai の November 21, 2024 版に掲載されています。
7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。
すでに購読者です? サインイン
World Bank calls for reforming skills training in India
India must make a coordinated effort to reform and rebrand vocational skill training, besides aligning education with the job market, to leverage its demographic advantage to meet the $5-trillion target for its economy, the World Bank said.
FCPA cases take long to conclude after indictment
For investors keen to know the fate of billionaire Gautam Adani's indictment by US authorities, the watchword is patience.
Short-covering, relief rally add ₹7.27 trillion wealth
Markets up 2.39% to hit the highest in six months, a day after Adani's indictment
Wetter monsoon slows pace of adding new transmission lines
India's addition of new power transmission lines fell by half over a year earlier in the April-October period as a wetter-than-usual monsoon slowed work.
COP29's $1.3 tn fund plan disappoints Global South
The 29th edition of the UN climate change conference in Azerbaijan emerged from a deadlock with an annual climate finance goal of $1.3 trillion for developing countries, much to the disappointment of the Global South.
Jaguar rebrand is pink, diverse and doesn't feature any cars
Luxury automaker Jaguar is betting that a colorful and youthful rebrand will help it successfully launch fully into the electric-cars market.
Services up as manufacturing slows in Nov
The HSBC Flash India Services PMI was at 59.2 in Nov from 58.5 in Oct; manufacturing PMI fell slightly from 60.4 to 60.2
MSMED may protect medium firms too
The Centre may consider including medium enterprises for the protection granted under MSME Development (MSMED) Act, 2006, to resolve payment disputes.
Europe boosts Indian textile exports in FY25
Demand for Indian handloom, apparel partly fuelled by Bangladesh crisis
RBI nudges banks to cut speculative bet in rupee
The Indian central bank, in a rare move, instructed some banks to cut their long positions on the dollar-rupee pair on Friday, seeking to curb speculative positions with the currency at a record low, four bankers familiar with the development told Reuters.
