Optical Networking Supercycle - ALL the Tech You NEED to know
Optical Networking Supercycle - ALL the Tech You NEED to know  
Podcast: Semi Doped
Published On: Fri Feb 20 2026
Description: Austin and Vik delve into the evolving landscape of optics and networking, particularly in relation to AI and data centers. The conversation covers various scales of networking, including scale across, scale out, and scale up, while also addressing the demand-supply dynamics in laser manufacturing and the future of optical circuit switches. The episode highlights the technological advancements and market opportunities in the optics sector, emphasizing the significance of these developments for the future of AI.TakeawaysSilicon photonics is becoming crucial for data center connectivity.Optics is essential for overcoming copper's limitations in speed and distance.Scale across technology is vital for connecting data centers.Scale out optics is the standard for connecting GPUs between racks.Co-packaged optics can reduce energy consumption in data centers.The scale up market for optics is emerging as a new opportunity.Indium phosphide wafers are a critical bottleneck in laser manufacturing.Optical circuit switches are gaining traction in data centers.2026 is anticipated to be a pivotal year for optical networking. Chapters00:00 Introduction to AI and CPU Bottlenecks03:00 The Rise of Silicon Photonics06:01 Understanding Optical Networking and Data Centers08:49 Scale Across: Connecting Data Centers11:56 Scale Out: Optimizing Data Center Connectivity14:53 Scale Up: The Future of GPU Connectivity23:32 The Shift from Copper to Optical Connections26:13 Challenges and Reliability of Lasers30:47 Understanding Co-Packaged Optics34:17 Market Dynamics: Demand and Supply of Lasers40:46 Emerging Technologies: Optical Circuit SwitchesCheck out Austin's Substack: https://www.chipstrat.comCheck out Vik's Substack: https://www.viksnewsletter.com