Nvidia is baking into its Spectrum-X Ethernet platform a suite of algorithms that can implement networking protocols to allow Spectrum-X switches, ConnectX-8 SuperNICs, and systems with Blackwell GPUs to connect over wider distances without requiring hardware changes. These Spectrum-XGS algorithms use real-time telemetry—tracking traffic patterns, latency, congestion levels, and inter-site distances—to adjust controls dynamically. Ethernet and InfiniBand Developing and building Ethernet technology is a key part of Nvidia’s roadmap. Since it first introduced Spectrum-X in 2023, the vendor has rapidly made Ethernet a core development effort. This is in addition to InfiniBand development, which is still Nvidia’s bread-and-butter connectivity offering. “InfiniBand was designed from the ground up for synchronous, high-performance computing — with features like RDMA to bypass CPU jitter, adaptive routing, and congestion control,” Shainer said. “It’s the gold standard for AI training at scale, connecting more than 270 of the world’s top supercomputers. Ethernet is catching up, but traditional Ethernet designs — built for telco, enterprise, or hyperscale cloud — aren’t optimized for AI’s unique demands,” Shainer said. Most industry analysts predict Ethernet deployment for AI networking in enterprise and hyperscale deployments will increase in the next year; that makes Ethernet advancements a core direction for Nvidia and any vendor looking to offer AI connectivity options to customers. “When we first initiated our coverage of AI back-end Networks in late 2023, the market was dominated by InfiniBand, holding over 80% share,” wrote Sameh Boujelbene, vice president of Dell ’Oro Group, in a recent report. “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.”

How are AI data centers different from traditional data centers? AI data centers and traditional data centers can be physically similar, as they contain hardware, servers, networking equipment, and storage systems. The difference lies in their capabilities: Traditional data centers were built to support general computing tasks, while AI data centers are specifically designed for more sophisticated, time and resource-intensive workloads. Conventional data centers are simply not optimized for AI’s advanced tasks and necessary high-speed data transfer. Here’s a closer look at their differences: AI-optimized vs. traditional data centers Traditional data centers: Handle everyday computing needs such as web browsing, cloud services, email and enterprise app hosting, data storage and retrieval, and a variety of other relatively low-resource tasks. They can also support simpler AI applications, such as chatbots, that do not require intensive processing power or speed. AI data centers: Built to compute significant volumes of data and run complex algorithms, ML and AI tasks, including agentic AI workflows. They feature high-speed networking and low-latency interconnects for rapid scaling and data transfer to support AI apps and edge and internet of things (IoT) use cases. Physical infrastructure Traditional data centers: Typically composed of standard networking architectures such as CPUs suitable for handling networking, apps, and storage. AI data centers: Feature more advanced graphics processing units (GPU) (popularized by chip manufacturer Nvidia), tensor processing units (TPUs) (developed by Google), and other specialized accelerators and equipment. Storage and data management Traditional data centers: Generally, store data in more static cloud storage systems, databases, data lakes, and data lakehouses. AI data centers: Handle huge amounts of unstructured data including text, images, video, audio, and other files. They also incorporate high-performance tools including parallel file systems, multiple network servers, and NVMe solid state drives (SSDs). Power consumption Traditional data centers: Require robust cooling

The world will generate 181 ZB of data in 2025, an increase of 23.13% year over year and 2.5 quintillion bytes (a quintillion byte is also called an exabyte, EB) created daily, according to a report from Demandsage. To put that in perspective: One exabyte is equal to 1 quintillion bytes, which is 1,000,000,000,000,000,000 bytes. That’s 29 TB every second, or 2.5 million TB per day. It’s no wonder data centers have become so crucial for creating, consuming, and storing data — and no wonder investor interest has skyrocketed.  The surging demand for secure, scalable, high-performance retail and wholesale colocation and hyperscale data centers is spurred by the relentless, global expansion of cloud computing and demand for AI as data generation from businesses, governments, and consumers continues to surge. Power access, sustainable infrastructure, and land acquisition have become critical factors shaping where and how data center facilities are built.  As a result, investors increasingly view these facilities not just as technology assets, but as a unique convergence of real estate, utility infrastructure, and mission-critical systems. Capitalizing on this momentum, private equity and real estate investment firms are rapidly expanding into the sector through acquisitions, joint ventures, and new funds—targeting opportunities to build and operate facilities with a focus on energy efficiency and scalability.

The pace of innovation in artificial intelligence is fundamentally reshaping the landscape of education, and the changes are happening rapidly. At the forefront of this movement stand developers, policy makers, educational practitioners, and associated experts at the recent Ai4 2025 conference (Aug. 11-13) in Las Vegas, where leading voices such as Geoffrey Hinton “The Godfather of AI,” top executives from Google and U.S. Bank, and representatives from multiple government agencies gathered to chart the future of AI development. Importantly, educators and academic institutions played a central role, ensuring that the approach to AI in schools is informed by those closest to the classroom. Key discussions at Ai4 and recent educator symposia underscored both the promise and peril of swift technological change. Generative AI, with its lightning-fast adoption since the advent of tools like ChatGPT, is opening new possibilities for personalized learning, skills development, and operational efficiency. But participants were quick to note that acceleration brings good and bad consequences. On one hand, there’s excitement about practical classroom implementations and the potential for students to engage with cutting-edge technology. On the other, concerns about governance, ethics, safety, and the depth of genuine learning remain at the forefront. This urgency to “do this right” is echoed by teachers, unions, and developers who are united by the challenges and opportunities on the ground. Their voices highlight the need for agreement on education policy and associated regulations to keep pace with technological progress, create frameworks for ethical and responsible use, and ensure that human agency remains central in shaping the future of childhood and learning. In this rapidly evolving environment, bringing all stakeholders to the table is no longer optional; it is essential for steering AI in education toward outcomes that benefit both students and society. Global Context: America, China, and the AI Race

The two dominant real estate research houses, JLL and CBRE, have released midyear snapshots of the North American data center market, and both paint the same picture in broad strokes: demand remains insatiable, vacancy has plunged to record lows, and the growth of AI and hyperscale deployments is reshaping every aspect of the business. But their lenses capture different angles of the same story: one emphasizing preleasing and capital flows, the other highlighting hyperscale requirements and regional shifts. Vacancy Falls Through the Floor JLL sets the stage with a stark headline: colocation vacancy is nearing 0%. The JLL Midyear 2025 North America Data Center report warns that this scarcity “is constraining economic growth and undermining national security,” underscoring the role of data centers as critical infrastructure. CBRE’s North American Data Center Trends H1 2025 numbers back this up, recording an all-time low North America vacancy rate of 1.6%, the tightest in more than a decade. Both agree that market loosening is years away — JLL projecting vacancy hovering around 2% through 2027, CBRE noting 74.3% of new capacity already spoken for. The takeaway seems clear: without preleasing, operators and tenants alike are effectively shut out of core markets. Absorption and Preleasing Drive Growth JLL drills down into the mechanics. With virtually all absorption tied to preleasing, the firm points to Northern Virginia (647 MW) and Dallas (575 MW) as the twin engines of growth in H1, joined by Chicago, Austin/San Antonio, and Atlanta. CBRE’s absorption math is slightly different, but the conclusion aligns: Northern Virginia again leads the nation, with 538.6 MW net absorption and a remarkable 80% surge in under-construction capacity. CBRE sharpens the view by noting that the fiercest competition is at the top end: single-tenant requirements of 10 MW or more are setting pricing records as hyperscalers

Aug. 28, RESTON, Va. — It’s the last day of the second-annual Data Center Frontier Trends Summit, marking the conclusion of a gathering of significant players in the data center world and their customers, all of whom are looking to get a better handle on the data center industry as it grapples with AI-fueled power demands, grid constraints, and an urgent need for infrastructure innovation. Taking place in the heart of Northern Virginia’s Data Center Alley, acknowledged as the world’s premier data center hotspot, the conference in Reston, VA saw a significant increase in attendance in its second year, going from just over 300 attendees in its inaugural year to close to five hundred attendees this year. Not unexpected, many of the attendees were newcomers to the event, attracted by the strong list of speakers focused on critical topics to the industry, with an emphasis on power and artificial intelligence. Many conversation with the attendees had them identifying specific topics that were primary motivators to attend, while one attendee simply told us “after reading the presentation descriptions and the speakers list, how could we not attend?” From the opening keynote “Playbook Interrupted” presented by Chris Downie, CEO of Flexential, the tone and message of the conference was made clear. Touching on topics such as AI’s insatiable resource appetite, tightening energy policies, and power scarcity, Chris made it clear that todays’ data centers are breaking old frameworks and demanding new strategies for growth and resilience. The message was clear; times have changed and industry executives needed to be ready to change with them. Staying ahead of the curve was going to be more difficult, but just as important. It was tyime to develop a new playbook for your business operations. Getting to the Core of It With the demand for AI centric