It is anticipated that in 2024, both Ethernet and InfiniBand technologies will generate record profits. The data center artificial intelligence networking market is predicted to reach a value of over $15 billion by 2024, driven mostly by Ethernet, InfiniBand, and 400/800G optical transceivers, according to a recently published analysis by 650 Group, a renowned market intelligence research company for the communications, data center, and cloud sectors.
According to Alan Weckel, Founder and Technology Analyst at 650 Group, “2023 showed tremendous growth in vendor revenue related to AI/ML networking with 2024 set to surge as many customers’ Proof of Concepts (PoC) move towards production networks. AI/ML has become one of the main growth drivers for data center switching over the next five years, and it places a tremendous amount of performance and bandwidth requirements on the network.”
Significant geographical variations in vendor performance with several record sets were also disclosed by the research. Highlights for 2023 include:
The percentage of Ethernet switching related to AI/ML and accelerated computing will expand from a niche in 2018 to a substantial share of the market in 2028 as AI bandwidth continues to increase. Before goods can scale up in production to handle AI/ML, record sales of switches and optics based on 800 Gbps are set to occur.
Arista Networks and NVIDIA are recognized as the top vendors in the Quarterly Data Center AI Networking survey. The report attributes the surging popularity of white box deployments in AI to the growth of Google’s TPU. The study additionally highlights the differences in vendor shares and market forecasts between Ethernet and Infiniband networks.
The Data Center AI Networking Quarterly Report, published by 650 Group, presents an evaluation of the market performance and share of vendors in the Ethernet and Infiniband networking sectors for implementations in AI/ML and HPC. It includes information on port speeds such as 1.6 Tbps, 3.2 Tbps, 100 Gbps, 200 Gbps, 400 Gbps, 800 Gbps, and 25 Gbps.
