Upscale launches Token Fabric, an open networking architecture for unified scale-up and scale-out AI computing in data centers.

Upscale, Inc. has introduced Upscale Token Fabric for AI factories, an open, purpose-built architecture that unifies scale-up and scale-out networking through common software and operations. The solution accelerates deployment with XPU partners and enables heterogeneous AI infrastructure designed for hyperscalers, XPU partners, neoclouds, and enterprises. The company reports gaining traction across customer wins and active engagements.

Today's AI infrastructure is shifting toward AI factories where compute, networking, storage, and software must operate as a single system. However, networking vendors typically offer either discrete components that customers must integrate themselves, or systems assembled from legacy networking components not purpose-built for AI. As heterogeneous XPUs, rack-scale architectures, and inference workloads drive unprecedented demands, the market requires a purpose-built, full-stack, open and standards-based AI networking solution that unifies scale-up, scale-out, and orchestration to improve utilization, simplify operations, and optimize tokens per dollar.

The market opportunity is substantial. Dell'Oro forecasts nearly $1 trillion in AI back-end switch spending through 2030, with Ethernet becoming the leading scale-up technology. 650 Group projects AI networking will surpass $200 billion by 2030 as heterogeneous, full-stack solutions scale.

Upscale Token Fabric is designed to connect any accelerator, scale accelerators inside the pod, and scale accelerators across the data center—capabilities that together provide the networking foundation enabling AI factories.

The solution comprises three integrated components. For scale-up networking, Upscale offers SkyFabriX silicon and switch trays. Scale-out capability comes from Upscale-engineered systems powered by NVIDIA Spectrum-X. SkyOS and SkyCMD software unify operations across GPUs and heterogeneous XPUs.

"The industry has spent decades connecting computers. AI demands something different: one computer, built at data-center scale," said Barun Kar, CEO of Upscale. "Upscale Token Fabric brings heterogeneous accelerators, scale-up, scale-out and software together as one coherent AI system, built on open standards, so the network never gets in the way. Operators focus on delivering the best AI compute for their workloads; the integrated stack delivers the performance and time to market."

SkyFabriX is the industry's first purpose-built scale-up switch silicon, based on the previously announced SkyHammer architecture. It supports ESUN, UALoE, SUE-T, standard Ethernet/IP, and evolving protocols including UALink, connecting any GPU or XPU over one open fabric. The silicon is engineered for deterministic, ultra-low-latency and native memory-semantic communication with a multi-Pb/s roadmap, offered in both copper and optical variants including pluggable, NPO, and CPO form factors. Scale-up switch-tray systems are available in custom, ORV3 and standard rack form factors, pooling GPUs and heterogeneous XPUs into large, standards-based domains.

For scale-out, Upscale offers NVIDIA Spectrum-X-powered systems ranging from 400G and 800G to 1.6T, with readiness for future Spectrum-X generations. With SkyOS, standard and custom system form-factor variants integrate seamlessly into NVIDIA and heterogeneous XPU clusters.

SkyOS is an AI-native network operating system providing one software foundation across scale-up and scale-out fabrics, built from the ground up for AI factories with advantages in performance, resiliency, and analytics. SkyCMD provides agent-native orchestration and observability, enabling thousands of network elements to observe, reason, and act as one, creating a unified operational model across scale-up and scale-out fabrics.

Upscale offers flexible consumption models. The full-stack model delivers maximum simplicity with standard form factors for scale-up switch trays and scale-out systems, with SkyOS and SkyCMD managing the complete rack—one operating model from deployment through day-two operations, built for neoclouds and enterprises without hyperscaler-size network teams. An integrated systems model provides flexible integration through standard form factors for scale-up switch trays and scale-out systems, with SkyOS and SkyCMD optionally managing the complete rack, built for XPU partners wanting validated hardware without building a network stack. For maximum control, hyperscalers can deploy SkyFabriX scale-up silicon, custom scale-up switch trays, or custom scale-out switch systems with compatible SDK and open SAI from Upscale, integrating the customer's own network operating system on top.

General availability is planned for early 2027, with early-access and joint-validation programs underway. Upscale will showcase Token Fabric and systems at OCP 2026, booth Sapphire F5.