Co-Packaged Optics (CPO) is an advanced heterogeneously integrated packaging technology. Unlike traditional pluggable transceiver that sits on the front panel of a switch device, The CPO moves the "optical engine" inside the chassis, placing it on the same substrate as the switch ASIC (Application-Specific Integrated Circuit).
By bringing the optics closer to the silicon(≤5mm), CPO drastically reduces the distance that traditional electrical signals must travel across, minimizing energy loss and signal interference，consumption power decrease up to 50%,significantly reduce latency(≤100ns) and increase bandwidth density.Increase bandwidth density.
Understanding where CPO fits requires comparing it to existing technologies:
| Feature | Pluggable Modules (Current) | Co-Packaged Optics (CPO) | Optical Circuit Switching (OCS) |
| Technical Level | Independent Device | Chip Package | Network Architecture |
| Location | Front Panel / External | Inside the Switch/ASIC Package | Standalone Switch Device |
| Signal Path | Long Electrical Trace | Ultra-short Electrical Trace | Pure Optical (Mirrors) |
| O-E-O conversion | O-E-O conversion | O-E-O conversion，Extremely short path | NO O-E-O |
| Power Efficiency | Standard | Very High (Lowers SerDes power) | Highest (No O-E-O) |
| Maintenance | Easy (Hot-swappable) | Difficult (Integrated) | Moderate |
| Representative Product | OSFP 800G Module | Broadcom 51.2T CPO Switch | Lumentum 64x64 OCS |
| Best Use Case | General Data Centers | 1.6T+ Next-Gen AI Clusters | AI Backend Fabrics |
As LLMs (Large Language Models) scale, the "Networking Wall" becomes a reality.Imagine GPU/ASIC bandwidth reaching 1.6T/3.2T; traditional electrical interconnects simply cannot handle it. Furthermore, the higher the bandwidth in a data center, the more electricity costs account for over 50% of the total cost. Adopting a CPO solution can save half the electricity. CPO addresses three critical AI bottlenecks:
Power Savings: CPO can reduce power consumption by up to 50% per link, which is vital when a single AI cluster consumes megawatts of power.
Density: By removing bulky front-panel cages, CPO allows for much higher port density, enabling 51.2T and 102.4T switching capacities.
Latency: In AI training, every nanosecond counts. CPO eliminates much of the latency introduced by traditional electrical traces. the latency is very low up to ≤100ns.
4.Top 20 Optical Module Leaders Navigating the CPO Era
The industry is divided into two main camps: traditional chip manufacturers and optical module manufacturers. The following is a summary of the CPO development status of the major manufacturers:
Broadcom: Located in USA,The frontrunner, currently shipping CPO-integrated switches like Broadcom 51.2T CPO switch.
Intel: Located in USA, Utilizing its world-class Silicon Photonics platform to create integrated optical compute interconnects.
Marvell: Located in USA,Focused on the TERALYNX platform, targeting ultra-low latency for AI.
NVIDIA: Located in USA,Developing proprietary CPO solutions to link future generations of GPUs.
Cisco (Acacia): Located in USA,Leveraging vertical integration to offer CPO in high-end routing.
Innolight:Located in China, Leading the transition from pluggable to CPO prototypes for hyperscalers.NVIDIA's first CPO partner for 1.6T processors, boasting a 25-30% global market share and over 40% market share for 800G products.
Coherent:Located in USA, Focusing on the specialized laser sources (ELSFP) that power CPO systems.
Lumentum: Located in USA,Developing high-power CW lasers necessary for the CPO ecosystem.
AOI (Applied Optoelectronics): Located in USA,Actively researching silicon photonics for 1.6T CPO solutions.
Fabrinet: Located in Thailand,The primary manufacturing partner for complex CPO
and 800G optical module assemblies.
11.CIGIS (CIG Information Group)：a global leader in optical modules, was the first CPO partner for NVIDIA's 1.6T, holding a global market share of 10-20%.
12.eoptolink： a global leader in optical modules, supplying 1.6T optical modules in bulk to major North American customers. With a dual-pathway strategy of CPO and LPO, it consistently ranks among the top three in global market share for 800G optical modules, demonstrating outstanding competitiveness.
13.Accelink: Self-developed silicon photonics chip CPO solution, 800G optical module shipments increased by 150% year-on-year, 1.6T products entered the sampling and testing stage.
14.HGTECH: Covering a full range of high-speed optical modules including 400G/800G/1.6T/3.2T, with 800G LPO optical modules already in delivery, and offering multiple technology routes including CPO/NPO/LPO/XPO.
15.Linktel: Possesses core technologies in optical chip integration and high-speed optical device design; developed copper microcavity liquid-cooled CPO heat dissipation technology; 800G products have passed customer verification.
16.HTGD: A company with a complete optical communication industry chain, achieving mass production of 800G optical modules, with smooth progress in 1.6T R&D, and CPO products having completed laboratory verification.
17.ZTT: Optical module business is rapidly emerging, with 800G optical modules already shipping in small quantities, and CPO products being developed for NVIDIA's Rubin platform.
18.LUXSHARE ICT: 400G optical modules have entered mass production and are being shipped; 800G silicon photonics modules have completed customer testing and are ready for small-batch delivery; LUXSHARE is also participating in the development of CPO industry standards.
19. Foxconn Industrial Internet Co., Ltd.（Fii）: Collaborating on the development of CPO's next-generation ASIC and 1.6T switch, related products are being gradually launched to the market.
20.HYTOPTODEVICE:Located in China,Professional China Manufacturer in high-speed optical transceiver,400G/800G mass production,1.6T products having completed laboratory verification.
5.FAQ
5.1.Q1: What is the main advantage of CPO over traditional pluggable optics?
A:The primary advantages for CPO are reduced power consumption (up to 30-50%), lower latency(≤100ns) and higher port density. although they use O-E-O conversion, the CPO has obvious advantages.
5.2.Q2:Will CPO completely replace pluggable optical transceiver?
A:Not. The CPO is the ultimate solution for 1.6T and 3.2T speeds in hyperscale AI clusters, pluggable transceivers like 400G QSFP-DD and 800G OSFP will remain the standard for enterprise and medium-scale data centers due to their serviceability and lower purchase cost. As a leading optical module wholesaler, HYTOPTODEVICE continues to provide high-performance pluggable transceivers to support this ongoing transition.
5.3.Q3:Who are the key players in the CPO ecosystem?
A: The market is driven by silicon giants like Broadcom, Intel, and Marvell, as well as system integrators like Foxconn Industrial Internet (Fii) and specialized manufacturers like CIG (Cambridge Industries Group) ,Fabrinet and HYTOPTODEVICE.
5.4.Q4:Is the maintenance difficult for CPO systems?
A: Yes, compared to pluggable transceivers. Since the CPO is integrated package, you cannot simply "swap" a single port if it fails. To mitigate this, many CPO designs use an External Laser Source (ELSFP), which can be replaced without opening the switch, ensuring higher system reliability.
5.5.Q5: Can I upgrade my existing switch devices to CPO?
A: No. Unlike pluggable modules, the CPO is integrated and packaged at the manufacturing stage. You must deploy CPO-ready switches (like those from Broadcom or Cisco) that feature integrated optical engines. However, you can still optimize your current netwoks using high-quality fiber optical transceivers from a trusted optical module supplier like HYTOPTODEVICE.
Related:
AI
Internet
Optical modules
Computing
