India’s optical fibre exports are witnessing a sharp surge amid the global artificial intelligence boom. Exports rose 158 per cent year-on-year to $483 million, or approximately Rs 4,300 crore, between April and August 2026, as technology companies increased investments in AI data centres. These facilities rely on high-speed cables to transfer massive volumes of data between servers, driving demand for optical fibre.
According to a Financial Express report citing data from the Ministry of Commerce and Industry, the growth is opening up new opportunities for Indian manufacturers supplying essential infrastructure for the expanding AI industry.
The United States emerged as the largest destination for Indian optical fibre products during the five-month period, with exports valued at $266.7 million. The country is a major market for AI infrastructure, with companies such as OpenAI, Google, Anthropic and Meta investing heavily in AI models and data centres.
China ranked second among buyers, importing $52.4 million worth of Indian optical fibre products. Poland followed with $22.8 million, while Vietnam accounted for $22.6 million. Japan, Canada and Italy were other important markets. Indian optical fibre products also reached destinations including the UK, Germany, Brazil, Malaysia, the UAE and Mexico.
Why AI depends on optical fibre
Although chips and AI models dominate discussions about the global artificial intelligence race, they represent only part of the infrastructure required. Optical fibre cables are another crucial component, enabling the rapid transfer of data across AI systems.
These cables transmit information through pulses of light rather than electrical signals, allowing large quantities of data to travel quickly over long distances. They connect servers within data centres, link these facilities to communication networks and support high-speed internet connectivity for homes and businesses.
As technology companies accelerate the construction of AI data centres, they require faster and more dependable connections to transfer information among thousands of servers. The expanding adoption of AI, alongside the growth of 5G and broadband networks, is further increasing demand for the cables and equipment needed to support these connections.
