Guosheng Securities: Silicon-based optoelectronics explodes a new round of computing power revolution, and market capacity is expected to further open up

The Zhitong Finance App learned that Guosheng Securities released a research report saying that silicon light will not only be a spillover product in the context of the explosion in demand for optical communication, but also a revolutionary technology reshaping the optical communication industry chain. Maximizing the value of the industrial chain from optoelectronic chips to PIC design will bring a new round of opportunities to leading domestic optical communication manufacturers, especially those with independent PIC design capabilities. At the same time, in the future, Silicon Optoelectronics will enter the scale-up scenario after CPO and other supporting packaging technologies, and the market capacity is expected to further open up and raise the ceiling of the optical communications industry.

Guosheng Securities's main views are as follows:

Silicon light is not a stock replacement, but an optical revolution reshaping the industrial landscape

Demand for optical communication is expanding at an accelerated pace. Whether it is upstream supply or rapid iteration, it is putting higher demands on the industrial chain. The capacity flexibility/high integration/low power consumption/fast iteration that silicon-based optoelectronics can provide are all suited to the expanding needs of the industry in the future.

Silicon light = silicone+light

Using semiconductors to empower the field of photonics, deeply integrate photonics with mature semiconductor manufacturing systems, and reshape the optical module industry chain that originally relied on discrete device assembly using “silicon-based” standardized and integrated logic. In the traditional optical module industry chain, value is scattered upstream in optical chips, electronic chips, etc. Meanwhile, silicon optical technology has moved the focus of the industry forward and concentrated upstream, giving PIC design companies an unprecedented central position. For companies with PIC design capabilities and module packaging capabilities, the profit distribution ratio and voice in the industry chain are expected to be further improved.

Collaborate with CPO development, open up the scale-up market, and welcome another breakthrough in the optical communication output value ceiling

Silicon light technology is a natural match for CPO needs. It is a systemic revolution from “optoelectronic division” to optoelectronic fusion”. Break the fundamental limitations of “electrical interconnection” in terms of density, power consumption, and distance, and make optical interconnection a full-scale (full-scale) interconnection technology from within a chip, between chips, to cabinets, data centers, and even wider area networks, opening up an incremental market space for optoelectronic integration an order of magnitude larger than the traditional optical module market.

Focus on it

1. Silicon chip manufacturers: Zhongji Xuchuang, Xinyisheng, Xihe Technology, Saili Technology, Kechuan Photonics, Xilian Optics, Bopu Semiconductor, Ayar Labs, Intel, etc.; 2. Silicon Optical Fab manufacturers: SMIC, Huahong Semiconductor, Tower, Global Foundry, etc.; 3. CW light source manufacturers: Yuanjie Technology, Shijia Photonics, Yongding Co., Ltd., Lumentum, etc.; 4. Silicon optical module suppliers: Tianfu Communications, Dongtian Micro, Weiteng Electric, etc.; 5. Silicon optical module suppliers: Xun Technology, Huagong Technology, Cambridge Technology, Liante Technology, etc.

Risk warning: The increase in silicon light penetration rate was lower than expected; demand was lower than expected; industry competition intensified.