Nvidia Drops $4B on Photonics Giants Lumentum and Coherent

Nvidia is going big on photonics. The GPU giant plans to pour $2 billion into Lumentum and another $2 billion into Coherent — a combined $4 billion bet on photonic technology.

The investments target both companies' research and development efforts as well as their manufacturing operations within the United States. Lumentum and Coherent are key players in photonic products, which are increasingly critical for high-speed data transmission and next-generation computing infrastructure.

For Nvidia, the move signals a deeper push beyond its core GPU business into the physical layer of computing. Photonics could play a major role in scaling AI infrastructure, where traditional copper interconnects are hitting bandwidth walls.

Four billion dollars across two companies is a serious commitment. Nvidia clearly sees photonics as foundational to whatever comes next.