Networking / Optical

Applied Optoelectronics - datacenter optical transceivers (400G/800G); hyperscaler bandwidth-buildout pure play.

Applied Optoelectronics - datacenter optical transceivers (400G/800G); hyperscaler bandwidth-buildout pure play.

Applied Optoelectronics - datacenter optical transceivers (400G/800G); hyperscaler bandwidth-buildout pure play.

Optical systems, DCI.

Optical components, transceivers.

Credo Technology - high-speed optical SerDes + Active Electrical Cables (AECs); 800G/1.6T datacenter interconnect ramp.

The optical-transceiver manufacturing backbone: dominant outsourced builder of 400G / 800G / 1.6T datacom transceivers and telecom/optical assemblies for the OEMs ($CIEN, $LITE, $CSCO) and AI-networking optics ($NVDA). The manufacturing layer of the optical-interconnect supply chain, a niche the EMS giants ($JBL, $FLEX) avoid for the optical-alignment expertise required.

Largest pure-play optical interconnect manufacturer on the US tape - high-speed transceivers (400G/800G/1.6T), pluggable optics, optical circuit switches (OCS), and co-packaged optics (CPO) components feeding AI datacenter bandwidth. Q3 FY26 record $808M revenue (+90% YoY) on capacity-constrained supply. NVIDIA strategic partnership 2026 (anchor + $2B equity investment) plus the disclosed >$400M OCS backlog and CPO multi-hundred-million-dollar incremental order make LITE the deepest US-listed expression of the optical-bottleneck thesis. Weight 0.80 reflects pure-play exposure with NVIDIA-concentration risk.

Photonics leg: InP / silicon-photonics lasers + external light-source modules for co-packaged optics in AI datacenters (GlobalFoundries, O-Net, Enablence partners), plus mmWave RF/optical connectivity. Core optical-interconnect + connectivity supply-chain exposure.