Celestica Rolls Out 1.6TbE Switches for AI and Machine Learning Infrastructure
Celestica Inc. (NYSE:CLS) announced on April 29 that its DS6000-series 1.6TbE switches are now available for order, marking a key milestone in the company's push into high-speed networking for artificial intelligence and machine learning infrastructure. The switches are designed to serve as the high-speed backbone for GenAI and ML workloads, addressing the intense bandwidth demands of modern data centers.
Powered by Broadcom Tomahawk 6 silicon, the DS6000 series delivers a non-blocking switching capacity of up to 102.4 Tbps, which Celestica says is the highest density currently available in the market. The series comes in two form factors: the 3RU DS6000, an air-cooled model for standard 19-inch racks, and the 2OU DS6001, a hybrid-cooled version tailored for 21-inch OCP ORv3 environments. Both models feature 64 ports of 1.6TbE connectivity and support high-speed copper and advanced optical interconnects, offering flexibility for scaling AI training clusters.
Celestica emphasized that the switches are built on open networking standards such as SONiC and adhere to specifications from the Ultra Ethernet Consortium (UEC) and the Open Compute Project (OCP). This approach is intended to future-proof AI fabrics for global customers, eliminating bottlenecks in backend networks of AI factories and enabling more efficient scale-up and scale-out operations.
The company operates as a supply chain solutions provider across North America, Asia, and globally, with segments in Connectivity & Cloud Solutions and Advanced Technology Solutions. It provides product manufacturing, supply chain services, hardware platform solutions, and hardware and software design services.
Industry analysts see the move as a strategic bet on the growing demand for high-speed networking in AI data centers. "This is a clear signal that Celestica is not just a supply chain player anymore—they're becoming a key enabler in the AI infrastructure race," said Mark Chen, a senior analyst at TechFront Research. "The timing is right, but they'll face stiff competition from established players like Cisco and Arista."
Not everyone is convinced. "Great, another switch. But can they actually deliver at scale? I've seen too many press releases that sound impressive but fall flat in real-world deployments," said Lisa Tran, a data center architect based in San Francisco. "I'll believe it when I see it in a production environment, not just a lab demo."
Meanwhile, investor sentiment remains mixed. "Celestica is positioning itself well, but the real test will be adoption rates over the next 12 months," said David Okonkwo, a portfolio manager at Horizon Equity Partners. "If they can secure a few big-name customers, this could be a game-changer for their stock."
While Celestica's potential as an investment is acknowledged, some analysts suggest that certain AI stocks may offer greater upside with less downside risk. For those interested in undervalued AI stocks that could benefit from tariff and onshoring trends, a separate report highlights top short-term AI opportunities.
READ NEXT: 33 Stocks That Should Double in 3 Years and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy.
Disclosure: None. Follow Insider Monkey on Google News.