⚡Photonics Is Wall Street's Next AI Infra Trade
TL;DR
With the memory-chip trade maturing, investors are turning to photonics, the optical tech that moves data as light inside AI data centers. Nvidia has put at least $6.5B into photonics since March, and Goldman sees the optical market growing 9x by 2028.
With the memory-chip trade maturing, investors are turning to photonics, the optical tech that moves data as light inside AI data centers. Nvidia has put at least $6.5B into photonics since March, and Goldman sees the optical market growing 9x by 2028.
Key Points
Nvidia has committed at least $6.5B to photonics companies since March
March saw $4B into Coherent and Lumentum for optical components
Goldman projects optical networking TAM growing from ~$15B to ~$154B by 2028
Roundhill launched a Photonics and Optics ETF (LYTE) in early August
Why It Matters
Moving bits as light is becoming the fix for the power and bandwidth walls in AI data centers, making photonics the infrastructure bet behind the model race.
Quick Facts
Frequently Asked Questions
Why does this matter?
Moving bits as light is becoming the fix for the power and bandwidth walls in AI data centers, making photonics the infrastructure bet behind the model race.
What happened?
With the memory-chip trade maturing, investors are turning to photonics, the optical tech that moves data as light inside AI data centers. Nvidia has put at least $6.5B into photonics since March, and Goldman sees the optical market growing 9x by 2028.
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