STL Shares in Green as It Enters AI-Powered Data Centre Market

On October 16, 2024, STL, a top company in optical and digital solutions, announced its entry into the AI-powered data centre market. 

At the India Mobile Congress 2024, STL showcased its full range of optical cables, connectivity, and interconnect solutions. The Honourable Telecom Minister, Shri Jyotiraditya Scindia, inaugurated this Make-in-India portfolio, specifically designed for AI-driven data centres.

The Telecom Minister highlighted how STL’s AI-focused data centre solutions are a major innovation for the AI ecosystem and will enhance India’s data centre capabilities. With over 200 million ChatGPT users generating 1.6 billion AI queries each month, and this number is expected to grow to over a billion users by 2025, the need for robust infrastructure is crucial. AI models rely heavily on the backend, which provides AI-led data centres and optical fibre connectivity support.

India is becoming a key hub for data centres, and by 2026, it is estimated to have nearly 520,000 GPUs in AI-driven data centres. Due to their higher server density and bandwidth needs, these GPU-based centres will need 36 times more fiber than traditional CPU servers. In addition, they will require more compact, high-density optical fibre cables, which can carry about 70% more fibre than those used in traditional setups.

STL, known globally for its expertise in optical solutions, has developed an advanced portfolio to meet the cabling needs of these GPU-heavy data centres. The optical fibre cabling in these centres must provide high bandwidth, low latency, and high density to support the complex workloads of AI applications.

“The linkage between AI, Data Centres and Optical Fibre forms the holy trinity of future connectivity. We have been deeply involved in building a suite of products that fit right into the most dense connectivity environments ever created,” said Ankit Agarwal, Managing Director and CEO of Optical Business, STL. He further added, “We are excited to showcase our Make in India AI-DC portfolio to our customers and believe that this will serve as a one-stop solution for their data centre cabling needs.”

About Sterlite Technologies Ltd

STL, or Sterlite Technologies Ltd, is a global leader in optical and digital solutions. The company offers advanced products and services to help build networks for 5G, rural areas, FTTx (fibre to the x), enterprises, and data centres.

On October 16, Sterlite Technologies Ltd’s share price opened at ₹opened at ₹120.79, touching the day’s high at ₹128.30 as of 11:26 AM on NSE.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.