New research from the Dell’Oro Group, a preeminent source on networks, data centers, and telecommunications, has shown that the haste to develop artificial intelligence (AI) infrastructure, also known as ‘Back-End’ networks, is unintentionally impeding the advancement of general-purpose, or ‘Front-End’ networks. Notwithstanding these obstacles, forecasts show a considerable uptick in the installation of 800 Gbps ports, with sales predicted to climb fourfold by 2024.
According to the survey, prominent cloud service providers (CSPs) have experienced project delays or even cancellations. These modifications are attributed to a strategy shift towards improving the capabilities of AI infrastructure.
Vice President at Dell’Oro Group, Sameh Boujelbene, said, “Our conversations with leading Cloud SPs have uncovered a series of project delays and budget reallocations favoring AI infrastructure enhancements over conventional network upgrades. This recalibration has pushed the timeline for the widespread adoption of 800 Gbps technology by about a year for some of the largest Cloud SPs, leading to a downward revision in our sales forecast for front-end network switches.”
Networking Operating System SONiC
“Our conversations with leading Cloud SPs have uncovered a series of project delays and budget reallocations favoring AI infrastructure enhancements over conventional network upgrades,” said Sameh Boujelbene, VP at Dell’Oro Group.The need for high-speed data transmission capabilities is still growing despite these delays, and in the next year, 800 Gbps port exports are expected to rise significantly. This rise is mostly attributable to the release of 51.2 Tbps chips into the market and the expected use by big cloud service providers, most notably AWS. It is anticipated that both front-end and back-end network infrastructures would benefit from these developments.
Additional observations from the Ethernet Switch – Data Center 5-Year January 2024 Forecast Report include estimates that 1600 Gbps ports will be shipped by 2025 – 2026 and that Linear Drive Optics will be used as a viable substitute for co-packaged optics. The paper predicts that by 2028, networking operating system SONiC would have been widely used by major organizations and Tier 2/3 Cloud SPs, with a penetration rate of 10 – 20 percent.
The IT industry’s changing demands are highlighted by this move toward prioritizing AI infrastructure, as AI skills are becoming more and more important for preserving innovation and a competitive advantage. The ensuing delays in front-end network installations, however, as observed in Dell’Oro’s latest report, serve as a reminder of the difficulties and compromises businesses must make when navigating the treacherous terrain of digital transformation.
