Dublin, July 09, 2026 (GLOBE NEWSWIRE) -- The "Silicon Photonics, LPO/LRO and NPO/CPO: Global Market 2027-2037" has been added to ResearchAndMarkets.com's offering.
Silicon photonics builds optical functions - the generation, modulation, routing, and detection of light - directly onto silicon chips using the same fabrication infrastructure that produces conventional electronics. For most of its history the technology was understood as an efficiency improvement: a way to move data faster and with less power than copper allows. By 2026 that framing no longer captures the market. Artificial intelligence and high-performance computing require enormous volumes of data to move at tremendous speed between chips, servers, and racks, and current accelerator architectures have pushed copper interconnect to its physical limits. The result is an interconnect bottleneck, in which expensive, power-hungry accelerators sit idle waiting for data rather than computing. Silicon photonics has become the industry's structural answer, moving information in photons rather than electrons - photons travel faster, lose far less signal over distance, and carry more information per channel. Optical transceivers remain the application that drives the industry. Data rates have doubled every few years - 100G, 200G, 400G, 800G - and 2026 saw the commercialisation of 1.6-terabit transceivers, with 3.2T expected to sample around 2027 and 6.4T following in the early 2030s. As rates climb, even the short copper trace between an optical engine and the switch or accelerator ASIC limits performance, which is why co-packaged optics (CPO) and near-package optics (NPO) - moving the optical engine onto the ASIC substrate - have become the central packaging story of the decade, alongside linear-drive pluggable and receive optics (LPO/LRO) that strip power-hungry DSP from the link.
A fundamental constraint shapes the whole market: silicon's indirect bandgap means a practical pure-silicon laser cannot be built, which has spawned an ecosystem of complementary material platforms - III-V, lithium niobate, silicon nitride, polymer, plasmonic - and heterogeneous-integration techniques. Beyond datacom, photonic quantum computing has matured into a credible commercial segment, attracting roughly US$2.1 billion in private capital in 2025 and overtaking superconducting systems, thanks to room-temperature operation and CMOS-foundry compatibility. Further demand comes from telecommunications, FMCW LiDAR and sensing, and biomedical uses.
Silicon Photonics, LPO/LRO and NPO/CPO: Global Market 2027-2037 is a comprehensive market and technology assessment of the silicon-photonics and photonic-integrated-circuit (PIC) industry across the 2027-2037 forecast period. It arrives at an inflection point: with copper interconnect exhausted and AI infrastructure demanding unprecedented bandwidth, silicon photonics has shifted from an efficiency improvement to the structural foundation of next-generation data movement. The report frames the market around its two demand engines - AI-driven data communications and the newly commercial photonic-quantum segment - and quantifies the transition to co-packaged optics (CPO), near-package optics (NPO), and linear-drive pluggable and receive optics (LPO/LRO).
The analysis pairs detailed technology explanation with granular, segmented forecasts. Beyond datacom, the report covers competing and complementary platforms, the "copper wall" and beachfront-density crisis, manufacturing challenges and the capacity shift to Southeast Asia, divergent CPO ecosystems (NVIDIA vs. Broadcom) and the TSMC COUPE platform, and application markets spanning telecommunications, AI and computing, quantum, LiDAR and sensing, biomedical, instrumentation, defence, and microwave photonics. It includes an ecosystem market map, regional analysis, and 160 detailed company profiles, making it a decision-grade reference for investors, chip and system vendors, hyperscalers, foundries, and component suppliers navigating the interconnect transition.
Content covered includes:
- Market sizing and 2027-2037 forecasts on both CPO and broad-market bases, with base/bull/bear scenarios, unit shipments, and CAGRs
- Silicon-photonics technology primer: PICs, optical I/O and couplers, lasers and photon sources, photodetectors, III-V integration, modulators and Mach-Zehnder interferometers, waveguides, and optical-component density
- Transceiver evolution roadmap (100G ? 1.6T ? 3.2T ? 6.4T): form factors, process nodes, power, and cost-per-Gbps
- CPO, NPO, and LPO/LRO architectures; scale-out vs. scale-up; NVIDIA and Broadcom ecosystems; TSMC COUPE packaging
- Competing/complementary platforms: III-V, lithium niobate, silicon nitride, polymer, metaphotonics, and plasmonics
- Structural themes: the copper wall and beachfront-density crisis, photonic AI acceleration, and the manufacturing shift to Southeast Asia
- Application segments: data communications, telecommunications, AI & computing, quantum, LiDAR & sensing, biomedical, instrumentation & metrology, defence & aerospace, energy & industrial, consumer, and microwave photonics
- Manufacturing, packaging, coupling, yield, and supply-chain challenges
- Regional analysis (North America, Asia-Pacific, Europe, RoW) and research institutes
- Ecosystem market map and 160 company profiles across the value chain
A selection of companies mentioned in this report includes, but is not limited to:
- Accelink Technologies
- Aeva Technologies
- AEPONYX
- Advantest
- AIM Photonics
- AIO Core
- Alibaba Cloud
- Amazon (AWS)
- ANSYS
- Advanced Micro Foundry (AMF)
- Amkor Technology
- AMO GmbH
- Analog Photonics
- Anello Photonics
- Aryballe
- ASE Technology Holdings
- Aurora Innovation
- Avicena
- Axalume
- Ayar Labs
- Baidu
- Bay Photonics
- BE Epitaxy Semiconductor
- Broadcom
- Black Semiconductor
- Broadex Technologies
- CamGraPhIC
- CEA-Leti
- Centera Photonics
- Cambridge Industries Group (CIG)
- Cisco
- Coherent
- CompoundTek
- Crealights Technology
- Credo Technology Group
- CyberRidge
- DenseLight
- EFFECT Photonics
- Eoptolink
- Ephos
- Fabrinet
- Fast Photonics
- Shenzhen Fibertop Technology
- ficonTEC
- FOCI (Fiber Optical Communication Inc.)
- FormFactor
- Fujitsu
- Genalyte
- Gigalight
- GlobalFoundries
- Guangzhou CanSemi Technology
- HGGenuine
- Hisense Broadband Multimedia Technologies
- HyperLight
- HyperPhotonix
- ICON Photonics
- Intel
- imec
- Infleqtion
- iPronics
- JCET Group
- Ki3 Photonics
For more information about this report visit https://www.researchandmarkets.com/r/fb96ew
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