Neoclouds Not Ready For AI Networking, Omdia Warns
CIO Influence, Wednesday, April 15th, 2026
Many neoclouds are not prepared for the networking demands of artificial intelligence, according to a new audit by Omdia, which warns enterprises to scrutinize suppliers beyond raw compute capacity.
Omdia's study, covering 50 neoclouds, finds that providers have scaled compute for AI workloads, but networking infrastructure is becoming a critical constraint. AI performance increasingly depends on the ability to process and move data securely across distributed environments and geographies.
'Network infrastructure will make or break neoclouds,' said Camille Mendler, Omdia Research Director, Telco B2B. 'Low-latency, resilient and secure connectivity- from backbone to edge - is table stakes for success, not least because sovereignty spans where AI workloads move.'