Both InfiniBand and Ethernet to Achieve Strong Growth From 2023 Levels
Incline Village, Nevada – June 4, 2024 – A newly released report by 650 Group, a leading Market Intelligence Research firm for communications, data center, and cloud markets, indicates that the Data Center AI Networking market is expected to grow to nearly $20B in 2025 led by Ethernet, InfiniBand and 800G Optical Transceivers. The report also revealed that early 1.6 Tbps port shipment should occur in 2025.
Highlights for Data Center AI Networking 1Q’24 include:
- Arista, Celestica, and NVIDIA are the largest three vendors in this segment
- 2024 will show a ramp in 51.2 Tbps switches, setting up 2025 to be a record year across AI Networking and Data Center Ethernet
- AI/ML will drive record levels of 800 Gbps ports and Optics during the next 18 months
- Hyperscaler CAPEX for 2024 will continue adjusting as AI/ML projects progress towards production.
- Customers continue to evaluate different networking topologies to address AI/ML networking requirements.
“1Q’24 showed tremendous growth in vendor revenue related to AI/ML networking with the rest of 2024 and 2025 are set to surge as many customers’ proof of concepts move towards production,” said Alan Weckel, Founder and Technology Analyst at 650 Group. “AI/ML puts a tremendous amount of bandwidth of performance requirements on the network, and AI/ML becomes one of the major growth drivers for Data Center Switching over the next five years. We are still in the early stages of AI/ML networking build-outs, and the market is poised to grow significantly and overtake many other markets in size and growth rates. As new AI focused ASICs and GPUs hit the market and ramp growth, networking diversity will be key to keeping pace with the demand.”
The Quarterly Data Center AI Networking report indicates that the top three vendors are Arista, Celestica, and NVIDIA. White box presence in AI continues to grow based on the expansion of Google’s TPU deployments. In addition, the report highlights the difference between Infiniband and Ethernet in vendor shares and market forecasts.
About the Data Center AI Networking Quarterly Report
The Data Center AI Networking Quarterly Report offers a market assessment of vendor performance and market share for Ethernet and InfiniBand networking deployed in AI/ML and HPC. The report covers the following port speeds: 25 Gbps, 50 Gbps, 100 Gbps, 200 Gbps, 400 Gbps, 800 Gbps, 1.6 Tbps, and 3.2 Tbps. 650 Group publishes additional segment-specific reports on Data Center Switching. For more information about the report, contact the sales department at 650 Group at +1 650 600 7104 or val@650group.com or www.650group.com.
About 650 Group
650 Group is a leading Market Intelligence Research firm for communications, data center, and cloud markets. Our team has decades of research experience, has worked in the technology industry, and is actively involved in standards bodies. Learn more at http://www.650Group.com
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