Arista Networks forecasts upbeat revenue as AI speeding lifts demand, shares jump

Networking equipment provider Arista Networks forecast annual revenue above Wall Street estimates on Thursday, betting on steady demand for its electronic hardware amid the expanding presence of data centers, ‌sending its ⁠shares ⁠up more than 17% in extended trading.

Demand for Arista’s ethernet network switches and routers has surged as companies increase their investment in AI infrastructure.

Analysts have noted that the company has a strong exposure to ⁠major cloud ‌and AI customers, whose capex is expected to keep growing sharply, ⁠creating a bigger demand backdrop.