Optical Circuit Switch (OCS) is an all-optical switching device that establishes direct optical paths between any input and output ports through an optical switching matrix. Unlike traditional electronic switching, OCS eliminates optical-electrical conversion, reducing power consumption and latency while enhancing interconnect efficiency in data centers.

According to Cignal AI’s Optical Circuit Switching Market Active Insight Report, the global OCS market is projected to exceed USD 1 billion by 2028, underscoring its growing role in high-performance computing, AI data centers, and hyperscale network infrastructure.

Google has been a key proponent of OCS technology, reportedly investing USD 500 million to 1 billion over the past five years to integrate it into its infrastructure. Similarly, AI hardware providers like NVIDIA are working to embed OCS into their systems, making deployment easier for operators.

According to QY Research Inc., the global OCS market was valued at USD 72 million in 2024 and is forecast to reach USD 385 million by 2031, achieving a 19.4% CAGR from 2025 to 2031.

At ECOC 2025, OCS emerged as one of the key topics of interest. Lumentum unveiled a compact 64×64 OCS module, complementing its R300 300×300 port product line, while Coherent showcased both 300×300 and 64×64 port OCS solutions, signaling accelerated adoption of optical switching in large-scale data centers.

As AI workloads and interconnect demands continue to expand, OCS is poised to become a foundational technology for achieving greater energy efficiency and agility in next-generation data centers.