Computing
Ethernet Is Winning The War Against Infiniband In AI Back-End Networks, According To Dell'oro Group
Share
$80 B in Ethernet Switch Spending Up for Grabs Over Next Five Years
REDWOOD CITY, Calif. , July 15, 2025 /PRNewswire/ -- According to the recently published AI Networks for AI Workloads report by Dell'Oro Group, the trusted source for market information about the telecommunications, security, networks, and data center industries, Ethernet is winning the war against InfiniBand in AI back-end networks, potentially driving nearly $80 B in data center switch sales over the next five years.
"When we first initiated our coverage of AI Back-end Networks in late 2023, the market was dominated by InfiniBand, holding over 80 percent share," said Sameh Boujelbene, Vice President at Dell'Oro Group. "Despite its dominance, we have consistently predicted that Ethernet would ultimately prevail at scale. What is notable, however, is the rapid pace at which Ethernet gained ground in AI back-end networks. As the industry moves to 800 Gbps and beyond, we believe Ethernet is now firmly positioned to overtake InfiniBand in these high-performance deployments.
"Although Ethernet is gaining ground in AI back-end networks, a key question remains: how much of the Ethernet opportunity will be captured by NVIDIA versus other switch vendors? In 2024, Celestica, NVIDIA, and Huawei led the Ethernet segment of the AI Back-end Switch market. However, we anticipate significant share shifts in 2025 as large-scale Ethernet deployments at Meta, Microsoft, Oracle, and other GPU-as-a-Service Providers ramp up—creating opportunities for additional switch vendors such as Accton, Arista, Cisco, Juniper/HPE, Nokia, and others to gain traction," continued Boujelbene.
Additional highlights from the July 2025 AI Networks for AI Workloads Advanced Research Report:
- Growth from GPU-as-a-Service Providers such as CoreWeave, Lambda Labs, Vultr, and others is projected to outpace that of Tier 1 Cloud Service Providers in the next five years.
- The majority of the switch ports deployed in AI back-end networks are expected to be 800 Gbps by 2025, 1600 Gbps by 2027, and 3200 Gbps by 2030.
- Co-packaged optic adoption in AI clusters will start to materialize in the next few years, led by NVIDIA.
Dell'Oro Group's AI Networks for AI Workloads Advanced Research Report explores the use cases that optimize InfiniBand vs. Ethernet in AI back-end networks, as well as the choices made by large Cloud Service Providers. The report also provides a 5-year market forecast on a worldwide basis, by customer type, by InfiniBand vs. Ethernet, and by port speed. For more information about the report, please contact us at dgsales@delloro.com.
Dell'Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunications, security, enterprise networks, and data center infrastructure markets. Our firm provides in-depth quantitative data and qualitative analysis to facilitate critical, fact-based business decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit https://www.delloro.com.
View original content to download multimedia:https://www.prnewswire.com/news-releases/ethernet-is-winning-the-war-against-infiniband-in-ai-back-end-networks-according-to-delloro-group-302501890.html
SOURCE Dell'Oro Group
Frequently Asked Questions
What is driving the growth in Ethernet for AI back-end networks?
The industry's move to 800 Gbps and beyond, along with scalability advantages, positions Ethernet to overtake InfiniBand in high-performance AI deployments.
Who are the key players in the AI Back-end Switch market?
In 2024, Celestica, NVIDIA, and Huawei led the Ethernet segment. However, significant share shifts are anticipated in 2025 with the ramp-up of large-scale Ethernet deployments.
What port speeds are expected in AI back-end networks?
The majority of switch ports deployed in AI back-end networks are expected to be 800 Gbps by 2025, 1600 Gbps by 2027, and 3200 Gbps by 2030.
First published on Wed, Jul 16, 2025
Liked what you read? That’s only the tip of the tech iceberg!
Explore our vast collection of tech articles including introductory guides, product reviews, trends and more, stay up to date with the latest news, relish thought-provoking interviews and the hottest AI blogs, and tickle your funny bone with hilarious tech memes!
Plus, get access to branded insights from industry-leading global brands through informative white papers, engaging case studies, in-depth reports, enlightening videos and exciting events and webinars.
Dive into TechDogs' treasure trove today and Know Your World of technology like never before!
Disclaimer - Reference to any specific product, software or entity does not constitute an endorsement or recommendation by TechDogs nor should any data or content published be relied upon. The views expressed by TechDogs' members and guests are their own and their appearance on our site does not imply an endorsement of them or any entity they represent. Views and opinions expressed by TechDogs' Authors are those of the Authors and do not necessarily reflect the view of TechDogs or any of its officials. While we aim to provide valuable and helpful information, some content on TechDogs' site may not have been thoroughly reviewed for every detail or aspect. We encourage users to verify any information independently where necessary.
Loading comments...