- Arelion is deploying 1.6 Tbps wavelengths and 400 Gb optics across key Nordic routes by Q2 to serve AI and cloud infrastructure needs.
- The upgrade aligns with booming regional AI demand, but its long-term success depends on matching network upgrades with capacity build-outs.
What happened: Arelion aims to capitalise on Scandinavia’s AI boom
Sweden-based Tier‑1 carrier Arelion is boosting its network capacity across Scandinavia to cater to rising demand for AI and cloud services. The upgrade includes installing 1.6 Tbps wavelengths and 400 Gb coherent pluggable optics between Oslo, Stockholm and Copenhagen, using Ciena’s programmable Reconfigurable Line System. The enhanced infrastructure is expected to come online by the end of Q2, with further improvements planned through the rest of 2025 into 2026.
Arelion operates over 77,000 km of fibre globally with more than 350 PoPs, but this regional upgrade focuses on supporting hyperscale data centres and burgeoning AI campuses within the Nordic region.
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Why it’s important
Scandinavia is fast becoming a focal point for AI infrastructure, driven by sustainable power, cooler climates, and land availability. Industry analysts estimate data‑centre capacity in the Nordics will grow by 280–580 MW per year, with the AI market potentially exceeding $19 billion by 2031.
Upgrading backbone connectivity with high‑capacity optics supports both heavy training workloads and real‑time inference at the network edge. However, achieving full utilisation will depend on how well operators and data‑centre builders align infrastructure capabilities with actual deployment and AI growth.
