---
title: How gen AI is driving the next wave of network and cloud innovation
description: In a panel discussion, industry experts shared their views on the challenges associated with AI adoption and its future impact on business operations.
image: https://blog.consoleconnect.com/hubfs/GenAI-Network%26Cloud_blog.jpg
---

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# How gen AI is driving the next wave of network and cloud innovation

By Lily Bennett|27 August, 2024

![How gen AI is driving the next wave of network and cloud innovation](https://blog.consoleconnect.com/hubfs/GenAI-Network%26Cloud_blog.jpg)

In a recent panel discussion, “[Navigating the Convergence of Networks, Clouds, and Generative AI](https://www.digitalrealty.asia/resources/videos/convergence-of-networks-clouds-genai),” hosted by [Digital Realty](https://www.digitalrealty.asia/) and Console Connect, industry experts shared their views on the challenges associated with AI adoption and its future impact on business operations.

The panel featured industry experts from both Digital Realty and Console Connect, alongside Jacky Chan from [Votee AI](https://votee.ai/), a multi-stacked AI start-up based in Hong Kong. These professionals brought diverse perspectives to the conversation, discussing the increased impact of generative AI and the critical role that infrastructure plays in its deployment.

Below, we share the key talking points and considerations for IT leaders:

## The rise of hybrid AI infrastructure

One of the significant themes discussed was the rise of AI-as-a-Service which has driven the increased adoption of hybrid AI infrastructures. Daniel Ong, Digital Realty, highlighted how the adoption of AI today is not dissimilar to the adoption of public cloud a decade ago.

> Customers have adopted a hybrid approach, with some resources on-premise and others in the public cloud. It will be the same for AI; there will be no difference. From Digital Realty's perspective, we're seeing a lot of AI-as-a-Service providers coming up.

Key to enabling this hybrid approach is flexible networking connectivity that enables providers to adapt as they determine the best way to meet their customers specific use cases.

![Digital Realty Hong Kong AI panel event](https://blog.consoleconnect.com/hs-fs/hubfs/Digital%20Realty%20Hong%20Kong%20AI%20panel%20event.jpg?width=1280&height=666&name=Digital%20Realty%20Hong%20Kong%20AI%20panel%20event.jpg)

## Egress charges and data sovereignty

Jack Kong, Console Connect, brought attention to the often-overlooked issue of egress charges when retrieving data from cloud platforms;

> Often cloud providers welcome you with open arms to start building language models in the public cloud. But businesses are sometimes unaware that when they start bringing this data back to their premises, the egress charges can be considerable.

Costs can escalate quickly, making it crucial for businesses to rethink their network strategies. Additionally, the panel emphasised the importance of data sovereignty, particularly in highly regulated industries like financial services. To maintain control over critical data assets, IT leaders must ensure network stability so data remains within the appropriate jurisdiction.

## AI energy consumption

The discussion also touched on the significant energy demands of AI infrastructure. While AI can drive innovation, it does consume vast amounts of power, which can conflict with corporate sustainability goals. Addressing this challenge requires a careful balance between performance and environmental responsibility, something Digital Realty is actively working on through sustainable infrastructure solutions.

## The future of AI

Looking ahead, the panellists agreed that large language models (LLMs) are on the path to becoming commoditised. This shift, highlighted by recent developments like Meta’s LLaMA 3.1 outperforming GPT-4, indicates that proprietary models may become less critical as businesses develop their own LLMs tailored to specific needs. Jackie Chan, Votee AI, also discussed multimodal models;

> In the upcoming five years, it won't be just large language models we're talking about, but also multimodal models, which means the model can see images, videos, and speak natively. We expect that such a model could be integrated into humanoid robots. This means AI could potentially handle all types of white-collar and blue-collar jobs."

This is a vision being actively pursued by Votee AI in collaboration with leading academic institutions in Hong Kong.

## Why it matters now

For IT professionals, the insights from this panel reinstate the need to stay agile and informed in a rapidly changing technological landscape. The convergence of networks, clouds and generative AI is not just a trend but it is reshaping how businesses operate and will continue to do so.

[For more insight on how to navigate the challenges and demands of generative AI, download our report “The impact of generative AI on networks.”](https://cta-service-cms2.hubspot.com/web-interactives/public/v1/track/click?encryptedPayload=AVxigLKcchkXIiBV08iTsz%2BSN1X3Jk%2BWUM4Ij4WVwQ5jJM5ew1DZMNRA378akPCrb1yAICRYk8JoTP8rMG8KLVKBm9Bccur%2Bald69ALJkDcXPdg7vfS0Yx4yVQVfBPN7MAzxazkJmNpRtqXRmCB19Vl48UleNsxmGbi%2B6sUL4YLKTM4EvShTqCc15VdKWKtc9cdQ8sPB5113Fh%2Fu%2FdBbJjAut1SXcg%3D%3D&portalId=3076203)

![Digital Realty and Console Connect team photo at the event](https://blog.consoleconnect.com/hs-fs/hubfs/Digital%20Realty%20Hong%20Kong%20AI%20event%20team%20pic.jpg?width=1272&height=715&name=Digital%20Realty%20Hong%20Kong%20AI%20event%20team%20pic.jpg)

## Console Connect and Digital Realty’s partnership

The partnership between Digital Realty and Console Connect is providing businesses with greater agility as they build AI services and workflows.

By integrating Console Connect into [Digital Realty's ServiceFabric™](https://www.consoleconnect.com/services/digital-realty-servicefabric/), we’ve made it easier to activate a Console Connect port at select Digital Realty data centres, giving instant access to Console Connect’s on-demand services, including private connections to leading cloud platforms, data centres, and premium internet access.

Through this collaboration, businesses can effortlessly expand their network reach, reduce operational costs, and manage connections more efficiently—all within a few minutes through ServiceFabric™. This offering is continuing to grow, where at the event it was announced that Console Connect services are now available via ServiceFabric™ in Hong Kong.

For enterprises navigating the complexities of generative AI, this secure infrastructure solution enables businesses to leverage AI technologies while ensuring robust data connectivity and compliance.

[![GenAI-report\_eDM](https://hubspot-no-cache-eu1-prod.s3.amazonaws.com/cta/default/3076203/interactive-173133535057.png)](https://blog.consoleconnect.com/hs/cta/wi/redirect?encryptedPayload=AVxigLI55Mp%2FcoNYmOxQp4KrgNYyAn8bOMEGFqh9Wq2cInE4mg8dX2X59b3YwDWiA235kUikKWQGhoriF6WMtiqlC2T6ZY9beKy%2FyU8AF1KkTMw2yCmpwDaq89VcFR3nUD7LhTD6xSBq%2BnwG5AzH61SwvcOc8rUeeQP071y%2FlJZt0GXoQfm7ce5434EByO%2FVDM%2B0ooXIUNwGP4j53qrZ8f8RYJuwog%3D%3D&webInteractiveContentId=173133535057&portalId=3076203&hsLang=en-us)

**Topics:** [Networking](https://blog.consoleconnect.com/tag/networking) [Cloud](https://blog.consoleconnect.com/tag/cloud) [AI](https://blog.consoleconnect.com/tag/ai)

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