Data centers are about to experience a very major paradigm shift due to some remarkable developments in network infrastructure hardware. This morning, Don Barnetson, senior vice president and head of product at Credo, shared some very exciting news. The team is working on a next-generation Active Electrical Cable (AEC). This cutting-edge underwater cable has brought unprecedented speeds of up to 800 Gb/s. Additionally, it can operate effectively over distances up to seven meters, as organizations increasingly rely on high-performance computing.
The need for higher data transfer rates continues to increase. With computers now capable of utilizing 500 to 600 GPUs and often spanning multiple racks, the need for efficient connections becomes evident. Nvidia’s ambitious plans to increase the maximum number of GPUs per system from 72 to 576 by 2027 further underscore this urgency. Barnetson emphasized the significance of the first stage in the scale-out network, stating that it is “the only nonredundant hop in the network.”
As the industry continues to change companies like Credo lead the way, developing technologies that meet these increasing pressures. Barnetson’s insights reflect a broader trend toward optimizing data transfer methods, ensuring that data centers can handle the increasing workloads efficiently.
The Role of Photonics and Copper in Data Transfer
AttoTude, founded by David Welch, emerged from extensive research into photonics, contributing to the ongoing dialogue about the best materials for data transmission. Welch’s expertise highlights a critical aspect of modern networking: while customers appreciate fiber optics for their capabilities, they often express frustration with the complexities of photonics.
“Customers love fiber. But what they hate is the photonics,” – Dave Welch
Welch’s comments underscore an existential crisis in the field. Although optical fibers have many advantages, most people still gravitate toward the old reliable electronics. He argues that “electronics have been demonstrated to be inherently more reliable than optics,” which influences how companies approach data center design.
To help close this somewhat ironic disconnect, Point2 Technology has created a cool little cable called the e-Tube. The innovative cable is made up of eight ultra-thin polymer waveguides. Each waveguide can carry an impressive 448 gigabits per second using two frequencies: 90 gigahertz and 225 GHz. That innovation allows Shimanos e-Tube cable technology to deliver a whopping total bandwidth of 1.6 terabits per second.
Advancements in Cable Technology
Point2 Technology’s e-Tube cable offers a number of key benefits compared to classic copper cables. Most importantly, it only takes up half the footprint of a 32-gauge copper cable while providing up to 20 times the distance. The high degree of shrinkage presents a compelling proposition for data centers. It adds distance—giving them more room to stretch and explore all space has to offer, efficiency included.
David Kuo, vice president of product marketing and business development at Point2 Technology, is optimistic about the future impact of the e-Tube cable. The firm will begin producing the chips necessary for this innovation later this year. This is incredible progress that represents an important step toward national adoption.
Barnetson emphasizes that even in an age of passive copper, it is still very important to the network infrastructure. There’s an even greater momentum towards using more innovative, smarter solutions. He stated, “You start with passive copper, and you do everything you can to run in passive copper as long as you can.” This approach reflects a pragmatic strategy as organizations seek to balance performance with reliability.
Future Directions in Data Center Networks
Data centers quickly begin changing as soon they’re built. The teamwork between industry luminaries such as Barnetson, Welch and Kuo is paramount to advancing data throughput speeds and pushing distances. Welch noted that continuous, new technology creation is key to expanding data center success in new scales.
“happens to be a beautiful distance for scale-up in data centers,” – Dave Welch
This feeling is at the heart of the bold innovations happening all around. As organizations increasingly rely on powerful computing systems, advancements in connectivity will play a pivotal role in supporting these operations.

