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2026 Global AI Report: A Playbook for AI Leaders
Why AI strategy is your business strategy: The acceleration toward an AI-native state. Explore executive insights from AI leaders.
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For many years, you could get away with simple network upgrades to keep your business running. If you needed more capacity or computing, you added faster switches and more powerful hardware. Storage running hot? Just scale up.
But when you’re running an AI model that’s constantly pulling massive datasets, updating in real time and expected to respond instantly, latency soon becomes unavoidable and your energy bills spike.
That’s where we are today. Continuous, high-volume AI data flows across clouds, data centers and edge environments rely on stable, low-latency pathways, and networks that rely on electricity cannot provide this consistently. Even small variations in routing, buffering and electrical switching reduce the predictability that AI needs.
Adding bandwidth can delay the symptoms but doesn’t address the architectural challenges these networks face as data movement intensifies.
- ALSO READ → Is your network holding back your AI plans?
The APN brings photonics into enterprise reality
What if, instead of moving data as electrical signals, we used light? That’s the idea behind photonics, which is quickly becoming the foundation for networks that can keep up with AI and deliver faster data flows, lower latency and significantly better energy efficiency.
By providing an end‑to‑end optical pathway, photonics avoids the processing steps that slow down traditional electrical and conventional optical networks.
At the leading edge of this shift is the All-Photonics Network (APN), developed by the IOWN Global Forum. It’s an architectural breakthrough and a practical step to rearchitecting how data moves, designed for a world where AI is changing the rules entirely.
How the APN works
Although photonics has been used for decades in subsea systems and long-distance carrier networks, it has remained inaccessible to most organizations because of its cost, complexity and the need for vendor-specific implementation.
The APN introduces a new way of architecting and operationalizing photonic transport so organizations can use it without having to manage the underlying optical engineering. Instead of relying on electrical conversions at every stage, it extends optical communication to the transport layers that connect sites, regions and data centers.
This results in far more consistent network performance. It reduces jitter significantly and improves throughput by avoiding repeated processing overhead.
For organizations trying to scale AI, this translates into more predictable application behavior in distributed environments and a network that can support increasingly complex workloads.
The shift to photonic transport also supports broader enterprise sustainability priorities.
AI increases the power consumption of digital infrastructure, and the heat and inefficiencies associated with electrical switching are significant. By reducing the number of optical-to-electrical conversions, the APN lowers energy demand and supports sustainability objectives without compromising performance.
Where the APN will take us next
The APN already improves the most critical parts of enterprise networks. It brings optical performance to long‑haul, metro and inter-data-center transport, where data volumes are highest and stability matters most. In these segments, photonics delivers immediate, measurable value.
At the same time, it sets the stage for what comes next. While the APN does not replace every switch in a data center or create a fully optical campus, it provides the architectural foundation for deeper photonic integration as technologies mature.
The IOWN Global Forum outlines a future where optical-first infrastructure delivers:
- Up to 100 times lower power consumption
- More than 120 times greater transmission capacity
- A reduction in end-to-end latency by as much as 200 times
Seen in this light, the APN acts as the bridge that brings optical performance into practical use now, while preparing organizations for deeper photonic integration as the technology matures.
This evolutionary path mirrors the shift from physical servers to virtualized infrastructure and, eventually, to cloud, where each step moved complexity away from the organization and closer to specialized providers.
How NTT DATA helps make the photonic future a reality
Through decades of investment in photonic research, global standards development and ecosystem collaboration, NTT Group, the parent company of NTT DATA, plays a key role in helping to move optical technologies from niche use cases into the mainstream.
NTT DATA, in turn, focuses on using these innovations to develop consumable enterprise services. We integrate APN capabilities into hybrid environments so you can benefit from photonic performance without having to navigate optical engineering complexity or vendor lock-in.
This combination of long-term research, development leadership and practical delivery and smooths the way for adopting photonic infrastructure.
A photonic network without the complexity
A photonic network does not need to introduce new complexity for technology leaders. Most organizations don’t want to manage wavelength control or optical components — and they shouldn’t have to.
Photonics is precise and specialized, but with the APN, it becomes a managed, integrated capability that simply works, delivering performance aligned with business and operational outcomes because the network finally operates at the pace AI requires.
Prepare your organization for the next decade of AI by updating your network strategy. Light-based networking is no longer experimental; it is an emerging foundation for enterprise-scale AI. If you’re ready to explore how photonics can support your AI ambitions, get in touch.