Light Reading Podcasts CSPs bank on wavelength services to monetize AI traffic
Sep 4, 2025
Sterling Perrin, an analyst at Heavy Reading and expert in the telecom market, dives into the impact of AI on connectivity demand. He discusses how AI is expected to accelerate traffic in long-haul networks, prompting a shift towards wavelength services. Perrin highlights the stark differences in AI traffic expectations between North American and global operators, revealing a readiness gap. He also explores the exciting advancements in wavelength technologies and their potential to transform the telecom landscape.
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Survey Focused On CSP Perspectives
- Heavy Reading surveyed 77 global CSPs to gauge AI traffic expectations and readiness.
- The survey focused on telecom operators rather than hyperscalers to understand CSP perspectives.
AI Traffic Will Grow Faster Than Conventional Traffic
- CSPs expect significant AI-driven traffic growth with long-haul slightly outpacing metro over three years.
- Heavy Reading's colleague projects a 33% CAGR for enhanced AI traffic versus 17% for conventional traffic over ten years.
Long-Haul Nets More AI DCI Opportunity
- Operators expect long-haul networks to capture a larger share of AI traffic than metros at the high end.
- Long-haul advantages stem from CSPs historically carrying inter-city DCI when hyperscalers avoid long-distance builds.