2017/6/30, the market research company LightCounting days before release for large data centers for optical devices demand, especially AOC/EOM, report on the Ethernet and DWDM optical devices demand. The report, in particular, analyzes the construction of data centers in China's BAT.
LightCounting pointed out that BAT has built a distributed data center network in many Chinese cities due to the restrictions imposed by the Chinese government on the construction of large facilities. Foreign cloud computing companies operating in China's data center also began to regional data center cluster evolution. The connections between these data centers will require a lot of broadband.
In the United States, Amazon recently revealed that Virginia Ashburn has 25 data centers connected by 3500 optical fibers. Facebook also builds new data centers outside the existing data centers for expansion. Microsoft announced plans to build more metro and regional data centers. All of these data centers need DCI connectivity solutions, thus bringing new opportunities for DCI device vendors. As shown, these Internet Co will become one of the early customers of 200G/400G DWDM transmission.
On the other hand, will these large cloud companies further start building edge data centers to be closer to the user? CISCO recently invented a new term "fog computing" to refer to the storage and computing power of enterprise users, which can help companies to move private data centers closer to Xiang Yun. Equinix and many other hosting providers are providing services to such enterprise customers.
Cloud computing companies are also starting to use trusted data centers to be closer to users. In order to meet the rapid growth of video on demand (VOD) services, popular video programs need to store backups at the local data center or the central office of the operator. New applications such as SnapChat and Instagram also make such edge data centers more urgently needed to reduce the pressure on long haul networks. Future driverless, IoT and other applications will further enhance the demand for edge data centers. Such a trend would be a reversal of the geographical distribution of traditional data centres in major service cities.