The demand for data center capacity continues to soar, driven by AI, high performance computing, and ever-growing digital services. But, while much of the conversation has focused on compute power and cooling advances, one essential part of the infrastructure is often overlooked – the network switch.
Switching plays a crucial role in how data moves within a data center. Every time data passes between servers or storage, it travels through switches, which route traffic and keep workloads running smoothly. In traditional data centers, these switches convert data signals from light (optical) to electricity (electronic) to make routing decisions, then back to light for transmission. This process happens millions of times per second and consumes significant energy, while also generating plenty of heat.
Optical switching – the new path
As data center workloads become denser and more dynamic, the network switching layer is emerging as a new bottleneck. Not only does it add to the overall energy footprint, but it also places extra strain on cooling systems, impacting both performance and sustainability goals.
One promising solution is optical switching. Unlike traditional designs, optical switches route data entirely in the light domain, removing the need for constant optoelectronic conversions. This can cut energy use dramatically while also reducing latency.
Companies like Finchetto are pioneering fully optical, packet-level switching technologies that deliver ultra-low power consumption and high performance, helping data centers scale efficiently without ramping up cooling and energy costs.
Designing for thermal balance
Thermal management is another critical area impacted by switching. Traditional switches generate heat as a byproduct of their constant optoelectronic activity, which must be mitigated by cooling systems. In high-density deployments, even modest gains in switching efficiency can result in noticeable cooling load reductions. Innovations like passive optical switching, which eliminate heat-intensive conversions, allow for better thermal balance across the data hall.
When cooling and switching strategies are considered together i.e. not in silos, operators can build facilities that deliver improved performance per watt, extend the life of their infrastructure, and maintain more consistent environmental control.
A bright future for those who innovate
For data center operators, understanding the link between network design, energy use, and cooling demands is essential. As the industry evolves, taking a holistic view of infrastructure – including how data is switched – will be key to building facilities that are not only powerful but also sustainable and future-ready.
Early adopters of technologies like optical switching stand to gain significant competitive advantages. By reducing power consumption at the switching layer, they can lower operational costs, ease the burden on cooling systems, and unlock new potential for high-density deployments. As digital demands grow, those who invest in smarter, integrated infrastructure today will be best positioned to scale efficiently and meet tomorrow’s performance and sustainability goals head-on.
About the author
Darren Watkins, Chief Revenue Officer at VIRTUS Data Centres, began his career as a graduate Military Officer in the RAF before moving into the commercial sector. He brings over 20 years experience in telecommunications and managed services gained at BT, MFS Worldcom, Level3 Communications, Attenda and COLT. He joins the VIRTUS team from euNetworks where he was Head of Sales for the UK, leading market changing deals with a number of large financial institutions and media agencies and growing the company’s expertise in low latency trading. Darren is responsible for sales, service management and strategic account management of all VIRTUS customers.
Additionally, he sits on the board of one of the industry’s most innovative Mobile Media Advertising companies, Odyssey Mobile Interaction and is interested in all new developments in this sector. Darren has an honors degree in Electronic and Electrical Engineering from University of Wales, College Swansea.
