Serenity: OpenAI’s network optimization will not reduce demand for optical modules, and AI compute capacity expansion will continue to drive growth in optical communications.

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ME AI news: Serenity posted that, regarding recent discussions about optimization of OpenAI MRC network architecture and the possibility that Amazon (AMZN) RNG architecture could lead to lower demand for optical modules, it believes that even if the number of optical modules required per single XPU decreases, the rapid expansion of AI computing power scale will still drive sustained overall growth in optical communications demand. Serenity added that as the number of XPU deployments increases significantly, total optical module demand is still expected to keep rising. For CPO (co-packaged optics) laser solutions, it said that VCSEL is more suitable as a transitional technology for the NPO (near-packaged optics) and short-distance interconnect stages, while in the long term, ultra-high-power continuous-wave (UHP CW) lasers will be a better option for CPO. This view is also consistent with an earlier public statement from Broadcom. (Source: BlockBeats)
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