Nvidia bets on light-speed AI data centers with a $4B photonics push

Nvidia is plowing $4 billion into photonics suppliers Lumentum and Coherent to connect the GPUs inside AI data centers with optical tech like lasers and transceivers, building on its Mellanox effort to boost NVLink. The multiyear deals include multibillion‑dollar purchase commitments and capacity rights for advanced laser and optical networking components, aiming to improve energy efficiency, bandwidth, and latency as AI workloads grow. The move underscores photonics as a key lever for future AI infrastructure amid broader interest from DARPA and rivals like AMD.