NTT Corporation is collaborating with the semiconductor company Toshiba to completely change how data is sent and received. They are leading the world with their cutting-edge IOWN (Innovative Optical and Wireless Network) initiative. With more than 160 members, IOWN includes major chip and server manufacturers, and internet mega players such as Google and Microsoft. Together, as partners they hope to transform the way data centers are built and their energy use is managed.
NTT recently showed off their amazing high-mass high-speed factory production prowess. They managed this operation from a ISC (Information Sciences Corridor) data center that was 300 kilometers away using a hybrid optical and wireless network. This unprecedented landmark achievement, being the first of its kind in the industry, demonstrates IOWN’s promise of making data centers more efficient and powerful.
The Vision Behind IOWN
IOWN addresses the increasingly urgent demand for higher-speed, ultra-low latency data transmission. This is especially important in today’s technology-focused environment. Chief Data Scientist C. Sean Lawrence expressed how we need to get creative to cut through the noise that has fallen like smog over data communication.
“We need to think differently to overcome this,” – C. Sean Lawrence
The main idea behind IOWN is to change the data center medium from traditional electrical copper wiring to a completely optical medium. Lawrence elaborated on this vision, stating, “The core idea is to move from electrical wiring to optical, inside data centers, between circuit boards in servers, between silicon packages on circuit boards, and eventually between the silicon die inside a package.”
This change will increase data transfer rates and reduce latency. It will lower demand for all forms of energy, a perennial driver of technological innovation in the sectors mentioned above.
Advancements in Optical Technology
NTT is preparing to commercialize its second-generation PEC, called a Photonic Electronic Converter, in 2026. They are building alliances with Broadcom and others to develop this IOWN vision and architecture, and it is laid out on their roadmap. This exciting development represents a significant step towards enhanced optical communication between circuit boards. It serves as a steppingstone toward the even higher-bandwidth inter-chip connections forecast to appear around 2028.
Takasumi Tanabe discussed how at the device level, they’re facing these same challenges with this transition. While he worked to keep things positive, he rightly recognized that some parts are unnecessarily complicated. He pointed out the demand for photonic devices to be integrated in vital system elements that require low power, high bandwidth, and low latency is growing.
“At the device level, some aspects are more challenging,” – Takasumi Tanabe
Furthermore, Tanabe acknowledged the limitations of current technology, stating, “A completely ‘all-optical’ system, in which electronics are removed entirely, may not be feasible with the current state of device physics.” Despite these challenges, the electric aircraft research and development being pursued today should resolve some of these issues.
Future Prospects of IOWN
Phase two will develop and demonstrate advanced optical communications between boards. After this stage, inter-chip links are expected by 2028, and intra-chip connections are forecast to be in production by 2032. Additionally, package-to-package connections are currently under development.
In addition to Tokyu, NTT and Toshiba are pressing ahead to eliminate the time lag in data transmission. In a recent successful proof of concept, there was total time delay of only 17 milliseconds. This specific improvement might seem small, yet it highlights how IOWN can dramatically shorten time lags in data processing and transfer.
“Even so, I expect photonic devices to play an increasingly important role in the most critical parts of future systems, where low-power consumption, high bandwidth and low latency are required.” – Takasumi Tanabe
