Industry Thought Leadership

The global AI revolution has entered an unprecedented phase, with over 1,300 industry-specific large models deployed worldwide and $86 billion invested by operators to integrate AI into network infrastructure by 2029. Countries like the U.S., China, and the EU are racing to establish AI ecosystems, while the Middle East and Central Asia are emerging as pivotal hubs, fueled by Saudi Vision 2030, UAE’s AI Strategy 2031, and Kazakhstan’s Digital Silk Road, etc. Concurrently, F5.5G all-optical networks have evolved to meet AI’s demands for deterministic latency (less than 1 ms), terabit-level bandwidth, and 99.9999% reliability. These networks underpin critical AI applications—from smart cities to industrial automation—transitioning from "dumb pipes" to intelligent infrastructure that adapts dynamically to service needs.

The next decade will witness the fast popularization of AI. Huawei hopes to work with industry partners to build an AI-centric F5.5G all-optical network, extending optical switching to data centers and metro edges, building premium networks for optical access by boosting coverage, bandwidth, and experience, and fully injecting AI capabilities to the management and control platform

The Imperative for AI-centric F5.5G All-Optical Network
To unlock the full potential of AI, the optical industry is faced with a new challenge to enable people to utilize AI and its applications as easily and freely as electricity. To achieve this, an AI-centric F5.5G all-optical network featuring premium transmission and all-optical 10 Gbps must be built. The premium transmission network provides high-quality connections to computing and satisfies the high-quality connection requirements of distributed data center architectures. The all-optical 10 Gbps network provides ubiquitous and ultra-broadband 10 Gbps bandwidth, enabling users to experience intelligent services anytime, anywhere.

For optical transmission, the key lies in extending the optical switching technology to data centers (DCs) and metro edges. By leveraging optical switching, DCs can expand the scale and efficiency of AI computing. Moreover, with all-optical switching deployed at metro edges, carriers can establish latency circles of 1 ms, 5 ms, and 10 ms through mesh networking. This enables all-optical one-hop connection for end-to-end all-optical switching, spanning from the backbone to the metro, ensuring the optimal AI experience.

For fixed access, the fixed broadband needs to provide premium services with deterministic and guaranteed service experiences for every user. Globally, there are three phases for fixed access network construction: coverage, bandwidth, and experience network construction.

For coverage network construction: Currently, over 28% of global users lack fiber connections. Urgent efforts are needed to accelerate the fiber coverage, leveraging rapid and cost-effective deployment to connect the unconnected.

To unlock the full potential of AI, the optical industry is faced with a new challenge to enable people to utilize AI and its applications as easily and freely as electricity. To achieve this, an AI-centric F5.5G all-optical network featuring premium transmission and all-optical 10 Gbps must be built.

For bandwidth network construction: First, some carriers offer fiber broadband with package rates merely in dozens of Mbps, severely limiting the potential of fibers. Upgrading these packages is essential to boost broadband service competitiveness. Second, Gigabit packages provided via GPON often result in poor end-user experiences, such as frequent video freezes. Upgrading from GPON to 10G PON needs to be prioritized to enhance network performance.

For experience network construction: The industry has a consensus on the evolution from FTTH with one single fiber to FTTR with one unified network, since FTTR networking ensures consistent optimal experience for users. With over 40 million global FTTR users currently, the technology will further evolve into FTTR+X. This evolution will empower carriers to innovate in AI applications like AI-enhanced storage, home guard, and healthcare. The ultimate aim is to enable a smart home ecosystem anchored by one FTTR network.

In addition, AI needs to be introduced to the management and control platform to realize automatic service provisioning, proactive user experience management, and proactive O&M, thereby improving user experience and efficiency, increasing revenue, and reducing the OPEX.

AI-Optical Synergy in Middle East and Central Asia: Leadership in Transition
The region is transitioning from “oil economies” to “AI economies” through strategic initiatives and AI-ready optical networks:

• Jordan Zain’s FTTR for all innovation: Zain Jordan launched commercial FTTR package, delivering full-house all-room coverage solution for 8K VR education and IoT ecosystems, available to all fiber users. AI-powered traffic prioritization ensures zero packet loss for telehealth and gaming.
• UAE e&’s 800G 3D-Mesh DCI and 1ms all-optical metro for AI. UAE e& launched the Middle East’s first 800G DCI backbone, achieving 48Tbps per fiber pair to interconnect AI hubs with less than 1 ms latency, supporting Arabic LLM training and autonomous drone logistics. It uses OXC technology and intelligent management platform embedded with AI to guarantee 1ms edge-to-core latency for real-time applications like smart grid controls and telemedicine.
• Azerbaijan Aztelekom deployed 10G PON to achieve almost whole nation-wide fiber FTTH coverage by the end of 2024.

Future Outlook: Accelerating AI Through AI-centric F5.5G All-Optical Networks
The Middle East and Central Asia are poised to lead the global AI revolution through AI-centric all-optical networks, which will act as accelerators by:

• Enabling Real-Time AI Collaboration: Ultra-low latency networks will allow seamless integration of distributed AI training clusters, reducing time-to-insight for industries like energy and healthcare.
• Scaling AI Infrastructure: F5.5G’s terabit-level bandwidth and deterministic reliability will support the exponential growth of AI data centers, aligning with projections of 57% global data center capacity growth by 2027.
• Driving Industry Innovation: From smart cities to autonomous logistics, AI-native networks will serve as the backbone for next-gen applications, unlocking $500 billion in cross-border investments by 2030.

The next decade will witness the fast popularization of AI. Huawei hopes to work with industry partners to build an AI-centric F5.5G all-optical network, extending optical switching to data centers and metro edges, building premium networks for optical access by boosting coverage, bandwidth, and experience, and fully injecting AI capabilities to the management and control platform. In this way, we can accelerate AI popularization and achieve new business growth together in the intelligent era!