Serenity: POET’s optical interconnects boast a positive demand outlook, with laser supply constraints expected to persist until 2029.

Serenity’s report stated that Poet Technologies’ management noted the world’s top three laser suppliers collectively control around 68% of the global market share, with their production capacity fully booked for the next two years. This follows LITE’s CEO’s earlier forecast that laser supply tightness would last beyond 2028; Poet’s remarks further signal the shortage could extend into 2029, leaving the optical components industry grappling with a critical component bottleneck. Poet also disclosed it is collaborating with a new client on a high-power External Light Source (ELS) project based on its Interposer platform, with mass production ramp-up expected to launch in the second half of this year. Additionally, the company projects its commercial partnership with Lumilens will generate over $500 million in revenue over the next five years, while market sources say Lumilens’ first client is among the world’s top three hyperscale cloud service providers. On the production planning front, Poet said its current annual optical engine capacity is about 1 million units, and market demand is projected to rise to roughly 1 million units per month by the end of 2027, equivalent to a roughly 10-fold capacity expansion requirement. Serenity believes that if Poet can deliver on the aforementioned production and commercialization targets, its growth outlook will be highly positive. However, as the company has not yet disclosed the specific name of its hyperscale client, its growth expectations remain to be further verified compared to peers that have already made their client resources public.