Fujitsu Limited and its subsidiary 1Finity have signed a strategic partnership with San Jose-based Arrcus Inc. to tackle exploding AI-related data traffic through software-based networking solutions that promise significant cost reductions for enterprise customers.
The Japanese technology giant, which reported consolidated revenues of ¥3.6 trillion (US$25 billion) for the fiscal year ended March 31, will leverage Arrcus’s Network Operating System software that can run on generic “white box” hardware components rather than requiring dedicated networking equipment.
Customers can reduce their total cost of ownership by over 40 percent, according to Arrcus, though the company has not provided independent verification of these savings claims across diverse enterprise environments.
The partnership initially targets Japan’s network operators, enterprises and data center operators before expanding globally. Fujitsu plans to combine the Arrcus platform with its existing AI services and computing technologies.
Arrcus recently secured $30 million in new funding from investors including NVIDIA, highlighting growing investor interest in software-defined networking solutions as AI workloads strain traditional infrastructure.
The timing coincides with Fujitsu’s broader AI infrastructure push this year, including partnerships with Palantir in August and Supermicro in April. However, the company faces intensifying competition from cloud giants and specialized AI infrastructure providers as enterprises evaluate cost-effective alternatives to traditional networking approaches.
The collaboration represents Fujitsu’s latest attempt to position itself as a comprehensive AI infrastructure provider in an increasingly crowded market.
