Market Chatter: Tosoh Targets 2029 Production of Plastic Optical Cables for AI Data Centers
Tosoh (TYO:4042) plans to begin mass production of plastic optical cables as early as 2029, targeting rising demand for high-speed data center components driven by generative AI, Nikkei reported Thursday.The fluoropolymer-based cables, developed with Keio University, can transmit data at roughly double the speed of conventional glass optical fibers while lowering error rates and power consumption, according to the report.Since the cables are made from plastic rather than glass, they can also be produced at lower cost and in larger volumes. Tosoh is working on manufacturing methods to preserve the cables' graded internal structure, which supports transmission performance, the report said.The technology is designed for short-range connections between servers inside data centers, where growing AI workloads are increasing data traffic and demand for faster transmission, according to the report.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
