Lumentum: Strong demand for optoelectronic components will keep its production capacity fully booked through 2029.
1 hours ago
As tech firms race to build faster AI data centers, Lumentum reports its optoelectronic components capacity is almost fully booked, a status set to persist until around 2029. Earlier this year, Nvidia invested $2 billion in Lumentum, which is a key supplier of advanced indium phosphide devices that power high-speed cloud computing and data transmission. Lumentum CEO Michael Hurlston said the firm will fail to meet roughly 70% of product demand next year, and still fall short of 30% of demand by 2028. Hurlston had previously indicated the company is on pace to sell out all its capacity by 2028. “We are pulling out all stops to expand capacity as fast as possible, but we still lag far behind our customers’ demand. Our capacity is already fully sold out, and there is no sign of this easing in the near term,” Hurlston noted.
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