Lumentum Holdings Inc., a global provider of optical and photonic technology, plans to expand manufacturing capacity at its U.S.-based semiconductor facility to meet growing demand for artificial intelligence (AI) infrastructure.
The investment will increase output at the company’s Rose Orchard Way site in San Jose, California, where it produces ultra-high-power (UHP) indium phosphide lasers. These lasers are key components in co-packaged optics (CPO) platforms, which enable low-power, resilient optical networking systems used in modern AI data centers.
The expansion is expected to create additional engineering and manufacturing jobs and strengthen the domestic supply chain for advanced networking components. “Our commitment to expanding domestic manufacturing not only supports a robust AI infrastructure supply chain but also reinforces America’s role in global technology leadership,” said Michael Hurlston, Lumentum’s president and chief executive officer.
Lumentum, which has decades of experience in high-power telecom lasers, is working with NVIDIA on networking technologies aimed at improving power efficiency and system resiliency for AI data centers. “With AI transforming every industry, the demand for high-performance, energy-efficient optical interconnects is growing rapidly,” said Gilad Shainer, senior vice president of networking at NVIDIA.
The company’s laser and optical technologies are used in telecommunications, data centers, and industrial applications, and are increasingly important for applications in AI, machine learning, and real-time data processing.
By expanding domestic manufacturing, Lumentum aims to help reduce supply chain constraints and support the development of next-generation AI networking systems, as demand for high-speed, energy-efficient data transmission continues to rise globally.
