AI data centers and Ukrainian drones are competing for fiber optic cable. Due to rising prices, manufacturers have started producing the coils themselves

Ukrainian manufacturers of fiber-optic drones have faced a sharp rise in the cost of materials. Due to the war and the artificial intelligence boom, demand for fiber optics is growing, so they have to compete for Chinese supplies both with russia and with global data centers. To reduce dependence on imports of finished components, Ukrainian companies have begun manufacturing their own coils for FPV drones from purchased fiber optics.

This is reported by Ars Technica, citing a representative of the research and development department of the Ukrainian company BlueBird Tech, Oleksii.

According to data cited by Ars Technica, russia alone purchased more than 60 million km of fiber-optic cable in 2025 — that is more than 10% of world production. Previously, russia's share of global demand did not exceed 1%.

Fiber optics are also being purchased en masse by companies building data centers for artificial intelligence. According to a forecast by research company TrendForce, in 2026 the global fiber-optic deficit could reach 180 million km.

"If we compare fiber-optic prices in 2025 and 2026, we saw an increase of approximately 6–10 times," Oleksii said.

China remains the main source of fiber optics for Ukrainian manufacturers. Sometimes it is bought through intermediaries in other countries, but the Chinese origin of the material usually does not change.

According to the BlueBird Tech representative, there have been cases when Chinese manufacturers directly told Ukrainian buyers that they could not provide them with material precisely because they are from Ukraine. And russia, by contrast, has much simpler logistics routes from China, which makes it easier for it to purchase components.

In addition, Ukrainian companies also have to take delivery time into account. Even after cargo arrives in Ukraine, delays can occur. For example, due to air raids, during which customs procedures are suspended.

Therefore, in order to depend less on Chinese suppliers of finished products, some Ukrainian manufacturers have changed their approach to purchasing. Now, instead of ready-made small coils for FPV drones, they buy fiber optics on large coils and then rewind it themselves onto smaller ones intended for drones.

This approach can somewhat reduce the cost of the finished product, but the main advantage is quality control. According to Oleksii, ready-made coils from China sometimes have defects. And if the fiber is damaged or breaks during flight, the operator may lose contact with the drone.

However, not everyone can switch to in-house winding. This requires special equipment, quality testing, and trained workers. Large manufacturers have more opportunities to organize such a process, while smaller companies often continue to buy ready-made coils.

Another problem is the shortage of people who know how to manufacture coils correctly. According to Oleksii, Ukrainian universities do not have specialized programs that train specialists specifically for this kind of production. Therefore, companies have to train workers themselves.

And this also costs money, because while newcomers master the technology, they make mistakes and spoil material. And practice may require many kilometers of fiber optics.

Moreover, even automated equipment does not solve the problem completely. It needs to be set up correctly, and the finished products must be carefully checked. In addition, some coils from each batch need to be installed on real FPV drones and tested in flight.

Earlier, dev.ua wrote that Ukrainian defense manufacturers are forced to spend increasingly more money not only on the components themselves, but also on ensuring their supply. BlueBird Tech CEO Valerii Zarubin said that companies have to pay in advance for large batches of components and then wait for their manufacture, delivery, and customs clearance. Because of this, significant sums can remain frozen for several months, even before production begins.

According to him, even one day of production downtime can cost at least millions of hryvnias, so companies try to create stocks of components in advance and prevent stoppages.