As artificial intelligence continues to expand beyond centralized data centers, technology companies are increasingly focusing on infrastructure that can support AI workloads closer to where data is generated. Against this backdrop, Arrcus has announced a strategic collaboration with Fujitsu and 1Finity to develop next-generation infrastructure built around FUJITSU-MONAKA, Fujitsu’s upcoming Arm-based CPU designed for high performance and energy efficiency.
Through this partnership, the companies aim to deliver a secure and energy-efficient infrastructure architecture tailored for the emerging era of Physical AI, Agentic AI, and large-scale AI training. More importantly, the initiative focuses on enabling organizations to deploy AI capabilities across highly distributed environments while maintaining strong performance, governance, and operational efficiency.
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As AI inference increasingly moves to the edge such as factories, hospitals, warehouses, and regional network hubs enterprises and service providers must address several challenges. For instance, latency reduction, power consumption, data sovereignty, and security have become critical considerations. Therefore, Arrcus and Fujitsu are jointly developing a Secure Sovereign AI Infrastructure architecture designed specifically to handle distributed AI workloads ranging from real-time edge inference to scalable AI training systems.
To achieve this, the collaboration combines FUJITSU-MONAKA–powered compute systems, Arrcus ArcOS, a disaggregated software-defined networking operating system, and 1Finity’s high-speed optical interconnect technology. Together, these technologies will enable intelligent traffic orchestration, secure connectivity, and end-to-end automation across distributed AI environments. As a result, service providers can transform traditional networks into programmable AI platforms capable of supporting advanced AI-driven services.
“AI inference is increasingly happening closer to where data is generated, in factories, hospitals, warehouses, and regional networks, and that fundamentally changes infrastructure requirements,” said Shekar Ayyar, Chairman and CEO of Arrcus. “By combining Arrcus’ distributed, programmable networking software with Fujitsu’s FUJITSU-MONAKA platform, we’re laying the foundation for secure, sovereign AI infrastructure that can scale from the edge to the core while optimizing for power, performance, and operational flexibility.”
Notably, FUJITSU-MONAKA has been designed to deliver strong AI inference and data-processing performance while significantly improving power efficiency. In addition, the processor incorporates confidential computing capabilities, which provide hardware-based security and reinforce data sovereignty. When integrated with Arrcus’ ArcOS network operating system, the solution enables dynamic traffic steering, workload-aware routing, and automated orchestration across distributed computing environments.
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These capabilities are particularly important for Physical AI applications and real-time inference workloads, where systems must process large amounts of data quickly while maintaining strict security standards.
“Physical AI and edge inference demand infrastructure that is not only powerful, but also energy-efficient and secure by design,” said Toshio Yoshida, VP, in charge of processor development, Advanced Technology Development Unit of Fujitsu. “Our collaboration with Arrcus around FUJITSU-MONAKA is key to meeting data sovereignty requirements and enabling enterprises and service providers to deploy trusted AI infrastructure with confidence across edge-to-core environments.”
Furthermore, by aligning compute, networking, and optical transport technologies, Fujitsu, Arrcus, and 1Finity aim to create a unified architecture for distributed AI clouds. This integrated approach will allow service providers to move beyond basic connectivity services and instead position themselves as AI infrastructure platforms.
The joint architecture also supports several critical industry use cases. For example, it can power smart factories, robotics systems, logistics automation platforms, and healthcare technologies that require ultra-low-latency decision-making. At the same time, enterprises can use the platform to process sensitive data locally while maintaining regulatory compliance and governance standards. Additionally, service providers may leverage the infrastructure to launch distributed AI hosting services and edge-based inference platforms, unlocking new revenue streams.
Looking ahead, Arrcus and Fujitsu plan to demonstrate this collaborative concept at MWC Barcelona, where they will highlight how the architecture can support next-generation AI deployments across edge-to-core environments.
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