Nvidia(US:NVDA) EBSCN·2025-03-16 03:06Investment Rating - The report maintains an "Accumulate" rating for the communication industry [1] Core Viewpoints - The advent of single-channel 200G and above will initiate a high growth phase for Co-Packaged Optics (CPO) technology, addressing significant signal loss issues associated with traditional pluggable optical modules [3][4] - CPO technology integrates network switch chips and optical modules into a single package, enhancing efficiency, reducing power consumption, and minimizing signal transmission loss [4][7] - The CPO market generated approximately $38 million in revenue in 2022, with projections to reach $2.6 billion by 2033, reflecting a compound annual growth rate (CAGR) of 46% from 2022 to 2033 and 80% from 2028 to 2033 [8] Summary by Sections CPO Technology Development - CPO technology is expected to replace traditional pluggable optical modules, enabling tighter integration of silicon photonic modules and large-scale CMOS chips, thus improving cost, power consumption, and size in data center applications [4][7] - Major tech companies like TSMC, Nvidia, and Broadcom are actively investing in CPO technology, with TSMC set to begin mass production of CPO modules by the end of 2024 [11][13] Market Trends and Projections - The report highlights that by 2027, the 3.2T pluggable solutions will face significant challenges, with OBO and CPO becoming mainstream technologies by 2030 [7][8] - Nvidia plans to deploy CPO technology in its upcoming GB300 platform to address current thermal management issues [11] Investment Opportunities - The report identifies potential investment opportunities in companies involved in the CPO supply chain, including: - Optical engines: Tianfu Communication, Zhongji Xuchuang, and Xinyi Sheng - Fiber distribution boxes: Taicheng Light - High-density connectors: Shijia Photon, Zhishang Technology, and Bochuang Technology - CW light sources: Yuanjie Technology, Shijia Photon, and Changguang Huaxin - Micro-lens arrays: Juguang Technology [20]