--- title: "Understanding the Market | Optical Communication Concept Stocks Rebound Collectively, NVIDIA Splashes $4 Billion on Strategic Investments in Two Leading Optical Communication Companies" type: "News" locale: "en" url: "https://longbridge.com/en/news/277871376.md" description: "Optical communication concept stocks collectively rebounded, with CIG rising 8.63%, Hongteng Precision rising 5.49%, TIME INTERCON rising 5.31%, and HUA HONG SEMI rising 2.2%. NVIDIA announced investments of $2 billion each in Lumentum and Coherent, totaling $4 billion, to promote optical technology research and development. Open Source Securities believes that optical communication technology will become the core technology for future AIDC interconnectivity. China Galaxy Securities pointed out that the prosperity of optical modules is rising, with strong overseas demand, and it is expected to accelerate the usage and demand growth of optical modules" datetime: "2026-03-05T06:23:03.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/277871376.md) - [en](https://longbridge.com/en/news/277871376.md) - [zh-HK](https://longbridge.com/zh-HK/news/277871376.md) --- > Supported Languages: [简体中文](https://longbridge.com/zh-CN/news/277871376.md) | [繁體中文](https://longbridge.com/zh-HK/news/277871376.md) # Understanding the Market | Optical Communication Concept Stocks Rebound Collectively, NVIDIA Splashes $4 Billion on Strategic Investments in Two Leading Optical Communication Companies According to Zhitong Finance APP, optical communication concept stocks have collectively rebounded. As of the time of publication, CIG (06166) rose by 8.63% to HKD 77.4; Hongteng Precision (06088) increased by 5.49% to HKD 5.96; TIME INTERCON (01729) climbed by 5.31% to HKD 17.45; Hua Hong Semiconductor (01347) went up by 2.2% to HKD 88.15. In terms of news, NVIDIA announced a multi-year strategic partnership with two leading companies in the optical communication field, Lumentum and Coherent, investing USD 2 billion in each company, totaling USD 4 billion to enhance research and manufacturing of advanced optical technologies. Kaiyuan Securities believes this move further confirms that optical communication technology may become a core technology for future AIDC interconnectivity, emphasizing significant opportunities for upgrading optical technologies such as silicon photonics/CPO/OCS/empty core optical fibers/thin film lithium niobate. China Galaxy Securities pointed out that the optical module market is still in an upward trend, with the current overseas market showing high prosperity. The capital expenditure scale of mainstream cloud vendors is expected to continue exceeding expectations by 2026. The improvement in GPU performance is driving a clear trend of upgrading overseas optical module rates. The pace of ramping up high-speed, high-value optical modules is expected to accelerate, while the long-term trend of optical fiber replacing copper is gradually becoming clear, further promoting the growth of optical module usage and demand ### Related Stocks - [CIG (603083.CN)](https://longbridge.com/en/quote/603083.CN.md) - [Coherent Corp. (COHR.US)](https://longbridge.com/en/quote/COHR.US.md) - [TIME INTERCON (01729.HK)](https://longbridge.com/en/quote/01729.HK.md) - [Lumentum Holdings Inc. 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