The US Fiber Optic Industry Leverages AI to Drive Favorable Policies
As the business community’s enthusiasm for AI continues to heat up, telecommunications industry professionals continue to emphasize the role that fiber optic networks play in supporting this evolution. They also use this as a differentiation advantage to cope with competition from low orbit satellites and fixed wireless access providers.
USTelecom CEO Jonathan Spalter testified at the Senate hearing on smart networks in July, stating that “the future of AI in the United States and our entire innovation economy run through fiber broadband networks. Not parallel to them, not bypassing them, but running through them.” Spalter added, “Fiber optic is the foundation on which the next generation of connectivity relies, including satellites and wireless – they rely on fiber optic to transmit large amounts of AI driven data, transforming the constantly emerging innovations around us into tangible benefits for communities across the country.”
The close relationship between AI usage and fiber optic networks has been confirmed in research. Recon Analytics founder and analyst Roger Entner stated at the Fiber Broadband Association Webinar that “users who own fiber are engaging in more intensive AI sessions, and users who engage in more intensive sessions are tending to choose fiber. ”Entner pointed out that the demand for networks from AI is enormous and has also changed the way we use networks. A few years ago, 93% to 95% of network traffic was downstream and 7% was upstream. Nowadays, AI is significantly pushing this proportion to double digits or even higher. ”He also emphasized the pressure of AI on data centers, stating that “metropolitan area networks are undergoing significant upgrades,” with some network targets reaching terabit connections, “which is simply unbelievable.”
Speed requirements
Faced with the growing demand for data from AI, the broadband industry is increasingly using the future of AI in the United States as a reason to promote policies that accelerate fiber deployment. Spalter emphasized the symbiotic relationship between fiber optics and AI during last month’s Senate hearing, urging lawmakers to pass a series of bills to reform the broadband licensing process, including the Narrowing the Gap Act (aimed at reducing licensing bottlenecks on federal land), the Broadband and Telecommunications Railroad Act (addressing delays in railway crossing permits), and the Accelerated Broadband Licensing Act (eliminating duplicate agency reviews).
In his opening testimony, Spalter stated that “the main constraint on US AI infrastructure is not technology, but government. Licensing is the biggest obstacle to providing AI ready connectivity in every community, which is entirely within the power of Congress this year.” He added, “Fixed, mobile wireless, and satellite services serve real and important purposes – covering the hardest to reach areas, replacing aging copper cables, connecting ships and aircraft, and providing disaster recovery services. But fiber optic is the infrastructure foundation for our AI future.”
Industry organizations have recently emphasized the role of fiber optic networks in supporting AI growth in their procedures with the FCC regarding modern high cost projects. NTCA stated in the submitted document that “the rapid growth of AI further requires ensuring reliable services in rural areas. Without modern networks, AI growth will be hindered, and the United States will face the risk of falling behind rival countries.”