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NVIDIA has entered into multiyear strategic agreements with Lumentum Holdings Inc., including a $2 billion investment to expand manufacturing capacity, strengthen U.S.-based production, and accelerate R&D in advanced optics technologies critical for next-generation AI infrastructure.
NVIDIA and Lumentum are deepening their collaboration to drive breakthroughs in optics technologies that underpin the massive expansion of AI computing infrastructure. The multiyear agreements include significant purchase commitments from NVIDIA for Lumentum’s advanced laser components, along with future capacity access rights, ensuring reliable supply for next-generation AI systems.
Central to the partnership is NVIDIA’s $2 billion investment in Lumentum, which will fund expanded research and development, increased manufacturing capacity, and the establishment of a new U.S.-based fabrication facility. This move strengthens domestic production capabilities while accelerating innovation in silicon photonics and optical interconnect solutions.
“AI has reinvented computing and is driving the largest computing infrastructure buildout in history,” said Jensen Huang, founder and CEO of NVIDIA. “Together with Lumentum, NVIDIA is advancing the world’s most sophisticated silicon photonics to build the next generation of gigawatt-scale AI factories.”
Optical interconnects and package integration play a pivotal role in scaling AI factories by enhancing energy efficiency, reducing latency, and improving network resiliency at extreme scales. As AI workloads demand exponentially higher bandwidth and lower power consumption, advanced optics become a foundational enabler for sustainable, high-performance data center designs.
“This multiyear strategic agreement reflects our shared commitment to advancing the optics technologies that will power the next generation of AI infrastructure,” said Michael Hurlston, CEO of Lumentum. “In support of this collaboration, we are also investing in a new fabrication facility to increase capacity and accelerate innovation. We’re excited to work together to expand what’s possible for the AI optical architectures of tomorrow.”
The partnership leverages NVIDIA’s dominance in AI computing, accelerated processing, and networking with Lumentum’s long-standing leadership in photonic technologies, high-performance lasers, modules, and optical subsystems. Together, they aim to deliver scalable, energy-efficient connectivity solutions that support the continued growth of cloud-scale AI deployments.
This strategic alignment reinforces the critical role of optics in overcoming power and bandwidth constraints in future AI data centers, positioning both companies to lead in the evolving landscape of AI infrastructure.
About Lumentum
Lumentum is a global leader in optical and photonic technologies that power the networks and infrastructure behind AI, cloud computing, and next-generation communications. Built on decades of photonics innovation, Lumentum delivers high-performance lasers, modules, and optical subsystems that enable scalable, energy-efficient data center connectivity, advanced telecom networks, industrial manufacturing, and sensing applications. Headquartered in San Jose, California, the company operates R&D, manufacturing, and sales facilities worldwide.
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