In 2026, 1.6T optical modules have officially entered their first year of commercialization. According to industry forecasts, annual demand for 1.6T optical modules may reach 8.6 million to 20 million units. This marks a comprehensive leap in AI data center interconnection bandwidth from 800G to T-level.
Cambridge Technology sent a clear signal at its 2026 semi-annual results briefing. Chairman and General Manager Huang Gang said that the company expects that in 2026, as its optical module business continues to expand in scale and 1.6T optical modules gradually ramp up, profitability will maintain steady development. In terms of products, the company will continue to focus mainly on 800G optical modules going forward, while 1.6T products will gradually move into mass production and ramp up.
In terms of capacity layout, Cambridge Technology is accelerating construction of its Mexico plant, striving to complete an annualized optical module capacity target of no less than 6 million units within the year, ensuring delivery of orders for core North American customers. Mexico capacity has entered the preparation stage. The company began producing broadband products locally in the first quarter of 2026 and started related preparation and production work for the optical module business in the second quarter, striving to achieve the scheduled capacity expansion target for optical module products by early 2027.
USI is also actively advancing mass production verification of 1.6T optical modules. The company stated on its investor interaction platform that the 1.6T optical module solution is being continuously optimized together with Guangchuanglian, and it expects the 1.6T silicon photonic module to enter mass production in the fourth quarter of 2026, while striving to accumulate more opportunities with leading customers by the end of the year.
HGTECH's progress in overseas markets is also noteworthy. The company disclosed on its interactive platform that 1.6T optical module products have achieved volume delivery to overseas integrators and channel partners; the 800G LPO series has been delivered in volume to a leading North American customer A, and order scale continues to increase; 1.6T FRO/LRO, as mainstream products for overseas markets, are currently under testing with leading overseas AI manufacturers.
From the perspective of technology routes, the penetration rate of silicon photonics solutions in 1.6T optical modules is significantly higher than in 800G. USI's choice to directly enter 1.6T silicon photonic modules reflects the industry's confidence in the maturity of silicon photonics technology. At the same time, the application of LPO solutions in 1.6T products is also accelerating, and power consumption optimization has become a core competitive dimension.
