NVIDIA to invest at least $6.5 billion in photonics over 3 months… easing AI power bottlenecks

Nvidia has invested at least $6.5 billion in photonics companies over the past three months to ease AI infrastructure power and connectivity bottlenecks.

The company is expanding optical-link efforts through plans involving Lumentum, Coherent, Marvell, Corning and Ayar Labs, and some photonics is already in use in networking products.

CEO Jensen Huang says Nvidia needs to scale silicon photonics and secure capacity early to stay ahead in next-generation infrastructure.

Industry observers caution that packaging and mass-production yield challenges could delay broad commercialization until after 2028.