The quiet infrastructure shift powering the next generation of data centers
Updated
January 30, 2026 11:42 AM

Peripheral Component Interconnect Express (PCIe) port on a motherboard, coloured yellow. PHOTO: UNSPLASH
Modern data centers operate on a simple yet fundamental principle: computers require the ability to share data extremely quickly. As AI and cloud systems grow, servers are no longer confined to a single rack. They are spread across many racks, sometimes across entire rooms. When that happens, moving data quickly and cleanly becomes harder.
Montage Technology, a Shanghai-based semiconductor company, builds the chips and connection systems that help servers exchange data without delays. This week, the company announced a new Active Electrical Cable (AEC) solution based on PCIe 6.x and CXL 3.x — two important standards used to connect CPUs, GPUs, network cards and storage inside modern data centers.
In simple terms, Montage’s new AEC product helps different parts of a data center “talk” to each other faster and more reliably, even when those parts are physically far apart.
As data centers grow to support AI and cloud workloads, their architecture is changing. Instead of everything sitting inside one rack, systems now stretch across multiple racks and even multiple rows. This creates a new problem: the longer the distance between machines, the harder it is to keep data signals clean and fast.
This is where Active Electrical Cables come in. Unlike regular copper cables, AECs include small electronic components inside the cable itself. These components strengthen and clean up the data signal as it travels, so information can move farther without getting distorted or delayed.
Montage’s solution uses its own retimer chip based on PCIe 6.x and CXL 3.x. A “retimer” refreshes the data signal so it arrives accurately at the other end. This allows servers, GPUs, storage devices and network cards to stay tightly connected even across longer distances inside large data centers.
The company also uses high-density cable designs and built-in monitoring tools so operators can track performance and fix issues faster. That makes large data centers easier to deploy and maintain.
According to Montage, the solution has already passed interoperability tests with CPUs, xPUs, PCIe switches and network cards. It has also been jointly developed with cable manufacturers in China and validated at the system level.
What makes this development important is not just speed. It is about scale. AI models, cloud services and real-time applications demand massive amounts of data to move continuously between machines. If that movement slows down, everything else slows with it.
By improving how machines connect across racks, Montage’s AEC solution supports the kind of infrastructure that next-generation AI and cloud systems depend on.
Looking ahead, the company plans to expand its high-speed interconnect products further, including work on PCIe 7.0 and Ethernet retimer technologies.
Quietly, in the background of every AI system and cloud service, there is a network of cables and chips doing the hard work of moving data. Montage’s latest launch focuses on making that hidden layer faster, cleaner and ready for the scale that modern computing now demands.
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Here’s the story of how a quirky toy transformed into a worldwide phenomenon.
Updated
January 8, 2026 6:35 PM
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Labubu vinyl figure displayed with surprise blind boxes in a store in Guayaquil, Ecuador. PHOTO: ADOBE STOCK
Trends move fast. One moment it's Dubai’s viral “Kunafa” chocolate bar, the next it’s Labubu—a mischievous-looking doll—racks up US$670 million in revenue this year, even outpacing Barbie and Hot Wheels. Celebrities like BLACKPINK’s Lisa and Dua Lipa have been spotted with Labubu dolls—whether as bag charms or in playful social posts.
For those unfamiliar, Labubu is the breakout character from the book series“The Monster” by Hong Kong-born, Belgium-based artist Kasing Lung. Alongside Labubu, the series features other quirky monsters like Zimomo, Mokoko and Tycoco—often grouped together as “Labubus”. These vinyl Labubu figures first entered the collectible scene in 2011 as “Monsters”, produced by Hong Kong-based production house How2Work. In 2019, Lung signed an exclusive licensing deal with Pop Mart, a Beijing-based toy collectible company, which further boosted the recognition and popularity of the franchise.
At first glance, Labubu might seem like just another fad. But the craze shows something deeper: in digital marketing, virality doesn’t happen by accident. It’s the result of timing, relatability and the rway global communities amplify trends.
So, what can marketers learn from the Labubu phenomenon? Let’s take a closer look.
Labubu’s unconventional aesthetics—a notorious grin, sharp teeth and wide eyes—break the traditional mold of “cute” toys. The social listening report from Meltwater, a media intelligence company reveals that from January to May 2025, mentions of “cute” outnumbered “ugly” nearly five to one. This “ugly-cute” look gave Labubu its identity and helped it stand out in a crowded market.
Marketing lesson: In a world of where everything blends together on endless feeds, uniqueness wins. Standing out with bold, even unconventional design choices can spark curiosity and desire. By leaning into what makes a product different, brands create instant recognition and give people something worth talking about.
Labubu’s surge in popularity is deeply rooted in Pop Mart’s focus on building genuine relationships with its fans. The company encourages user-generated content— unboxings, fan art, influencer stories—that fueled Labubu’s spread online and build brand engagement. Fans weren’t just buying toys; they were becoming part of a community that celebrated each new design.
Marketing lesson: Customers don’t want to feel like faceless buyers. They want to feel seen, heard and part of something bigger. By encouraging engagement and valuing contributions, brands can turn casual customers into loyal advocates who spread the word on their behalf.
While Pop Mart notes Labubu is most popular among women aged 18–30, its audience has broadened beyond that group. The design draws on influences from Nordic mythology and East Asian “kawaii” culture, making it feel both familiar and new to global audiences.
For Millennials and Gen Xers, Labubu also sparks nostalgia for toy crazes like Tickle Me Elmo and Beanie Babies that once lit up childhoods before fading away. Together, these layers of cultural resonance and cross-generational charm give Labubu an unusually broad reach.
Marketing lessons: Relatability is a powerful driver of virality. When a product can connect across generations and cultures, it expands far beyond a niche fan base. Brands that blend familiarity with novelty can build bridges to much larger audiences.
Labubu’s blind box model makes buying feel like a game. The thrill of not knowing which design you’d unwrap made collecting Labubus fun. It also turns buying into an emotional experience rather than a rational choice, fueling the urge to complete entire collections.
Besides, the suspense itself became content—millions watched unboxing videos to share in the excitement. Even BLACKPINK’s Lisa admitted she began with “only three to four” Labubus but soon wanted “a whole box” of the latest collection.
Marketing lesson: Mystery creates excitement, and excitement drives repeat purchases. By adding an element of surprise, brands can make the buying experience feels less like a transaction and more like a story unfolding. That thrill keeps customers coming back and makes the product easy to share online.
Pop Mart releases Labubus in limited drops, often tied to holidays or cultural events. Some editions include ultra-rare “chase” figures—appearing only once in every 144 boxes—creating a strong sense of urgency and fear-of-missing out (FOMO) among buyers. This strategy fuels a booming resale market, where regular figures retailing at US$25 can sell for US$200–US$300, and rare editions have even fetched prices up to US$150,000.
Marketing lessons: Scarcity isn’t just about limiting supply—it’s about building anticipation. By tying releases to events and sprinkling in rare editions, brands keep fans watching for the next drop. This combination of urgency and exclusivity transforms ordinary products into must-have collectibles.
Labubu has expanded its reach through creative brand collaborations. For instance, the Labubu x Coca-Cola series features figures in iconic red-and-white themes, while a Vans Old Skool drop merged streetwear in the clothing brand’s notable checkerboard pattern with collectibles. The One Piece collaboration blended Labubu’s quirky style with beloved anime heroes, appealing to fans of both worlds.
Marketing takeaway: Collaborations breathe fresh life into a brand and open doors to new audiences. Partnering with well-known names adds cultural weight and collectible value, while keeping the brand relevant in different communities. Done right, collaborations turn niche products into mainstream sensations.
Labubu’s phenomenal success is more than a passing craze. It’s proof that bold design, authentic community building, clever scarcity and cultural collaborations can transform a quirky idea into a global movement.
For marketers, the takeaway is simple: don’t just chase trends—create something real and let your community shape the story with you. Be bold, stay authentic and bring your fans along for the ride. That’s how brands move from fleeting hype to lasting cultural icons.