CIAN 2016 Annual Report CIAN 2016 Annual Report | Page 2

DATA CENTERS, NETWORK BOTTLENECKS, AND THE MOVE TO PARALLELISM IN OPTICS Optical communication systems that are ubiquitous in today’s Internet and data transport networks have seen more than four orders of magnitude increase in capacity since first deployments roughly thirty years ago. Over this same period, their application has evolved from being a high performance specialized technology reserved for the Internet backbone to finding their way into personal computers and home systems. Optical transceivers today are sold in volumes of 10’s of millions per year for data center networks. This rapid expansion of the use of optical systems and in particular the migration of optics to the edge of the network is placing burgeoning requirements on the scalability of optical systems. From a performance standpoint, optical systems are approaching the Shannon channel capacity limit, which bounds the spectral density. As a result, historical scaling methods through increases in the bandwidth-distance product are coming to an end. This trend, often referred to as the fiber capacity crunch, is driving a shift to scaling through parallelism. The reach and capacity improvements of a single-amplifier-band fiber system are reaching the point of diminishing returns due to physical and practical limits. Further capacity gains will need to come from multiple parallel systems or integrated systems that incorporate multiple fibers or amplifier bands. To keep systems affordable, the main challenge in scaling through parallelism is that the energy and footprint need to scale in proportion to the performance, i.e. exponential traffic growth can only be supported by exponential reductions in the energy per bit and the area per unit bandwidth. Focus on these quantities is a fundamental shift from how systems have been developed so far.