Tower Semiconductor and Innolight Expand their Collaboration and Ramp Volume of Next-Generation SiPho Solutions for AI and Data Centers
Tower Semiconductor (NASDAQ/TASE: TSEM) and Innolight have expanded their collaboration to ramp up production of next-generation Silicon Photonics (SiPho) solutions for AI and data centers. The breakthrough technology reduces external optical components and halves the required number of lasers per module, streamlining optical module design and improving cost efficiency.
The partnership focuses on delivering solutions for:
- 100Gbps per lane (400G/800G)
- 200Gbps per lane (1.6T)
- Future 400Gbps per lane (3.2T) optical modules
Tower's new SiPho platform features industry-leading edge coupling efficiency and higher-performance modulators, enabling reduced complexity, improved system reliability, and enhanced supply chain robustness. The collaboration aims to meet the increasing demand for high-speed optical connectivity in AI-driven data centers and cloud infrastructure.
Tower Semiconductor (NASDAQ/TASE: TSEM) e Innolight hanno ampliato la loro collaborazione per aumentare la produzione di soluzioni di Silicon Photonics (SiPho) di nuova generazione per l'IA e i data center. Questa tecnologia innovativa riduce i componenti ottici esterni e dimezza il numero di laser necessari per modulo, semplificando il design dei moduli ottici e migliorando l'efficienza dei costi.
La partnership si concentra sulla fornitura di soluzioni per:
- 100Gbps per lane (400G/800G)
- 200Gbps per lane (1.6T)
- Futuri moduli ottici da 400Gbps per lane (3.2T)
La nuova piattaforma SiPho di Tower presenta un'efficienza di accoppiamento ai bordi leader nel settore e modulatori ad alte prestazioni, consentendo una riduzione della complessità, un miglioramento dell'affidabilità del sistema e una maggiore robustezza della catena di approvvigionamento. La collaborazione mira a soddisfare la crescente domanda di connettività ottica ad alta velocità nei data center alimentati dall'IA e nelle infrastrutture cloud.
Tower Semiconductor (NASDAQ/TASE: TSEM) e Innolight han ampliado su colaboración para aumentar la producción de soluciones de Silicon Photonics (SiPho) de próxima generación para IA y centros de datos. Esta tecnología innovadora reduce los componentes ópticos externos y reduce a la mitad el número de láseres requeridos por módulo, simplificando el diseño del módulo óptico y mejorando la eficiencia de costos.
La asociación se centra en proporcionar soluciones para:
- 100Gbps por carril (400G/800G)
- 200Gbps por carril (1.6T)
- Módulos ópticos futuros de 400Gbps por carril (3.2T)
La nueva plataforma SiPho de Tower presenta una eficiencia de acoplamiento de borde líder en la industria y moduladores de alto rendimiento, lo que permite reducir la complejidad, mejorar la fiabilidad del sistema y aumentar la robustez de la cadena de suministro. La colaboración tiene como objetivo satisfacer la creciente demanda de conectividad óptica de alta velocidad en centros de datos impulsados por IA e infraestructura en la nube.
타워 반도체 (NASDAQ/TASE: TSEM)와 이노라이트는 AI 및 데이터 센터를 위한 차세대 실리콘 포토닉스(SiPho) 솔루션의 생산을 확대하기 위해 협력을 강화했습니다. 이 혁신적인 기술은 외부 광학 부품을 줄이고 모듈당 필요한 레이저 수를 절반으로 줄여 광학 모듈 디자인을 간소화하고 비용 효율성을 향상시킵니다.
이번 파트너십은 다음과 같은 솔루션 제공에 중점을 둡니다:
- 100Gbps per lane (400G/800G)
- 200Gbps per lane (1.6T)
- 미래의 400Gbps per lane (3.2T) 광학 모듈
타워의 새로운 SiPho 플랫폼은 업계 최고의 에지 결합 효율성과 고성능 변조기를 특징으로 하여 복잡성을 줄이고 시스템 신뢰성을 개선하며 공급망의 강인성을 향상시킵니다. 이번 협력은 AI 기반 데이터 센터와 클라우드 인프라에서 고속 광 연결에 대한 증가하는 수요를 충족하는 것을 목표로 합니다.
Tower Semiconductor (NASDAQ/TASE: TSEM) et Innolight ont élargi leur collaboration pour augmenter la production de solutions de Silicon Photonics (SiPho) de nouvelle génération pour l'IA et les centres de données. Cette technologie révolutionnaire réduit les composants optiques externes et divise par deux le nombre de lasers requis par module, rationalisant la conception des modules optiques et améliorant l'efficacité des coûts.
Le partenariat se concentre sur la fourniture de solutions pour:
- 100Gbps par voie (400G/800G)
- 200Gbps par voie (1.6T)
- Modules optiques futurs de 400Gbps par voie (3.2T)
La nouvelle plateforme SiPho de Tower présente une efficacité de couplage de bord de premier plan dans l'industrie et des modulateurs haute performance, permettant de réduire la complexité, d'améliorer la fiabilité du système et de renforcer la robustesse de la chaîne d'approvisionnement. La collaboration vise à répondre à la demande croissante de connectivité optique à haute vitesse dans les centres de données alimentés par l'IA et les infrastructures cloud.
Tower Semiconductor (NASDAQ/TASE: TSEM) und Innolight haben ihre Zusammenarbeit ausgeweitet, um die Produktion von Silicon Photonics (SiPho) Lösungen der nächsten Generation für KI und Rechenzentren zu steigern. Diese bahnbrechende Technologie reduziert externe optische Komponenten und halbiert die erforderliche Anzahl von Lasern pro Modul, wodurch das Design optischer Module vereinfacht und die Kosteneffizienz verbessert wird.
Die Partnerschaft konzentriert sich auf die Bereitstellung von Lösungen für:
- 100Gbps pro Lane (400G/800G)
- 200Gbps pro Lane (1.6T)
- Zukünftige 400Gbps pro Lane (3.2T) optische Module
Die neue SiPho-Plattform von Tower bietet eine branchenführende Kantenkopplungseffizienz und leistungsstarke Modulatoren, die eine reduzierte Komplexität, verbesserte Systemzuverlässigkeit und erhöhte Robustheit der Lieferkette ermöglichen. Die Zusammenarbeit zielt darauf ab, der steigenden Nachfrage nach Hochgeschwindigkeits-Optikverbindungen in KI-gesteuerten Rechenzentren und Cloud-Infrastrukturen gerecht zu werden.
- New SiPho platform reduces laser requirements by 50%, lowering production costs
- Technology now in production and ramping to high volume
- Improved supply chain efficiency and system reliability
- Expanded market opportunity in growing AI and data center sectors
- None.
Insights
Tower Semiconductor's expanded collaboration with Innolight represents a significant technological and commercial advancement in the Silicon Photonics (SiPho) space. The announcement confirms their newest SiPho platform is not merely in development but actively ramping to high-volume production - a critical milestone that transitions promising technology into revenue-generating products.
The platform's breakthrough capability to reduce required lasers by 50% delivers multiple competitive advantages: 1) substantially lower component costs, 2) simplified manufacturing processes, and 3) enhanced supply chain resilience - particularly valuable amid ongoing industry constraints. This positions Tower favorably against competitors like GlobalFoundries and TowerJazz in the specialized photonics foundry segment.
Most compelling is the strategic market focus on AI data center infrastructure - currently experiencing explosive demand growth as companies rapidly scale computing resources for generative AI deployment. The technology roadmap addressing current 100/200Gbps and future 400Gbps optical connections directly aligns with hyperscalers' urgent need for increased data throughput.
While financial terms weren't disclosed, securing Innolight - a top-tier optical transceiver manufacturer - as a production customer significantly validates Tower's technology capabilities and provides a clear commercialization pathway. With continuing capacity expansion referenced, investors should monitor future production volumes and customer adoption rates as key performance indicators.
Tower's enhanced SiPho platform addresses a critical bottleneck in AI infrastructure scaling. As AI models grow exponentially in size and complexity, the interconnect bandwidth between computing nodes has become the primary constraint in distributed training environments. The announced technology directly tackles this limitation.
The 50% reduction in laser count per module represents more than just component savings - it fundamentally improves energy efficiency and reliability metrics that determine total cost of ownership for hyperscalers. In AI clusters where optical modules are deployed by the thousands, these improvements compound significantly at scale.
The performance specifications supporting 100/200Gbps current applications with a pathway to 400Gbps modules align perfectly with the industry's projected 3-5 year roadmap for AI infrastructure. As transformer models continue to scale beyond trillions of parameters, the demand for these high-bandwidth optical interconnects will accelerate further.
Innolight's position as supplier to major cloud providers means this collaboration provides Tower with access to the fastest-growing segment of the data center market. The
New Technology Halves Laser Requirements for Streamlined, High-Volume Optical Module Production to Meet Growing AI And Data Centers Market Demands
MIGDAL HAEMEK, Israel, March 10, 2025 – Tower Semiconductor (NASDAQ/TASE: TSEM), a leading foundry of high-value analog semiconductor solutions, and Innolight, a global leader in high-speed optical transceivers, today announced their expanded collaboration utilizing Tower’s newest Silicon Photonics (SiPho) platform, now in production and ramping to high volume. This breakthrough technology dramatically reduces the number of external optical components, cutting the number of lasers required per module by half, simplifying optical module design and enhancing cost and supply chain efficiency for AI and data center applications.
With increasing demand for high-speed optical connectivity in AI-driven data centers, Innolight and Tower Semiconductor are strengthening their long-standing partnership to deliver cost-efficient, high-performance solutions that address the needs of 100Gbps per lane (400G/800G), 200Gbps per lane (1.6T) today and 400Gbps per lane (3.2T) optical modules in the future. Leveraging Tower’s new SiPho platform, the solution significantly boosts scalability, performance, and cost-effectiveness for AI-driven data centers and cloud infrastructure.
"Innolight has been leading the high-speed optical module market, and our collaboration with Tower enables us to pioneer new Silicon Photonics solutions for AI and data center applications," said Dr. Sheng Liu, CEO of Innolight. "Utilizing Tower’s new SiPho platform, we deliver superior performance, cost, and supply chain resilience for our hyperscale customers. Our partnership with Tower continues to yield best in class offerings."
The next-generation SiPho platform offers industry-leading edge coupling efficiency and higher-performance modulators. These innovations enable the elimination of half of the external lasers per module. Thus, the platform not only reduces cost and complexity but also improves system reliability and supply chain robustness.
"We are honored to deepen our collaboration with Innolight demonstrating the strength of our partnership and our shared commitment to delivering innovative and customized Silicon Photonics solutions," said Russell Ellwanger, CEO Tower Semiconductor. “Our continued investment in SiPho technology development and capacity expansion reinforces our leadership and enables our customers to lead in delivering high-performance solutions that meet the evolving needs of AI and data center markets.”
For additional information on Tower’s Silicon Photonics technology platform, please visit here.
For additional information on Innolight, please visit the company’s website: www.innolight.com.
About Tower Semiconductor
Tower Semiconductor Ltd. (NASDAQ/TASE: TSEM), the leading foundry of high-value analog semiconductor solutions, provides technology, development, and process platforms for its customers in growing markets such as consumer, industrial, automotive, mobile, infrastructure, medical and aerospace and defense. Tower Semiconductor focuses on creating a positive and sustainable impact on the world through long-term partnerships and its advanced and innovative analog technology offering, comprised of a broad range of customizable process platforms such as SiGe, BiCMOS, mixed-signal/CMOS, RF CMOS, CMOS image sensor, non-imaging sensors, displays, integrated power management (BCD and 700V), photonics, and MEMS. Tower Semiconductor also provides world-class design enablement for a quick and accurate design cycle as well as process transfer services including development, transfer, and optimization, to IDMs and fabless companies. To provide multi-fab sourcing and extended capacity for its customers, Tower Semiconductor owns one operating facility in Israel (200mm), two in the U.S. (200mm), two in Japan (200mm and 300mm) which it owns through its
Safe Harbor Regarding Forward-Looking Statements
This press release includes forward-looking statements, which are subject to risks and uncertainties. Actual results may vary from those projected or implied by such forward-looking statements. A complete discussion of risks and uncertainties that may affect the accuracy of forward-looking statements included in this press release or which may otherwise affect Tower’s business is included under the heading “Risk Factors” in Tower’s most recent filings on Forms 20-F, F-3, F-4 and 6-K, as were filed with the Securities and Exchange Commission (the “SEC”) and the Israel Securities Authority. Tower does not intend to update, and expressly disclaim any obligation to update, the information contained in this release.
About InnoLight
InnoLight is a world leader in providing a wide range of high-speed optical solutions for optical communication networking, especially for AI and Data Center applications, with global footprints in California, Singapore, Thailand, and Taiwan. For more information, please visit www.innolight.com.
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Tower Semiconductor Company Contact: Orit Shahar | +972-74-7377440 | oritsha@towersemi.com
Tower Semiconductor Investor Relations Contact: Liat Avraham | +972-4-6506154 | liatavra@towersemi.com
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