TrendForce says a shortage of critical optoelectronic components — EML and CW lasers — is reshaping the AI optical transceiver supply chain, and projects the global market to grow from $16.5 billion in 2025 to $26 billion in 2026, an AI optical transceiver market up more than 57% year-over-year
TrendForce's research indicates that the global market for AI-focused optical transceivers is projected to grow from $16.5 billion in 2025 to $26 billion in 2026, representing over 57% year-over-year growth. This expansion is driven by specification upgrades and a reshaping of the optical communications supply chain due to accelerating AI data center deployment. The supply of critical optoelectronic chips, such as EMLs and CW-LDSs, remains tight, constraining capacity expansion.
Verified 2026-09-20
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Transceivers turn electrical signals into light to link AI chips, and part shortages are shaping who can supply them.
More on Supply chain
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