India, June 8 -- The rapid expansion of AI data centers and the intensifying race for AI computing power are accelerating the transition toward transmission speeds above 1.6 Tbps, according to TrendForce's latest research.

Major players such as NVIDIA, Google, and Meta are securing a stable supply by strategically locking in production capacity from electro-absorption modulated laser (EML) and continuous-wave distributed feedback laser diode (CW-DFB LD) suppliers.

This has prompted suppliers to aggressively expand capacity in response to customer demand, doubling the combined monthly production capacity for EML and CW-DFB LDs to around 50.7 million units in 2026. The top three suppliers, Broadcom, Lumentum, and Sumitomo Electric, are ex...