Charu Chanana, chief investment strategist at Saxo Financial, said optics are becoming an increasingly important part of AI infrastructure. As AI clusters grow, more data needs to be moved quickly and efficiently between GPUs, servers, racks, and data centers, she said in a research report. She said that optical interconnection uses light to transmit data, and can provide the high bandwidth and energy efficiency that AI networks increasingly require when expanding. Key players in the industry include China's Zhongji Xuchuang and Chengdu Xinyisheng Communications Technology, as well as America's Lumentum and Gaoyi.

Charu Chanana, chief investment strategist at Saxo Financial, said optics are becoming an increasingly important part of AI infrastructure. As AI clusters grow, more data needs to be moved quickly and efficiently between GPUs, servers, racks, and data centers, she said in a research report. She said that optical interconnection uses light to transmit data, and can provide the high bandwidth and energy efficiency that AI networks increasingly require when expanding. Key players in the industry include China's Zhongji Xuchuang and Chengdu Xinyisheng Communications Technology, as well as America's Lumentum and Gaoyi.