Serenity: AI computing power demand drives laser manufacturers to expand, Lumentum case deserves attention

Serenity stated that laser companies can expand into the optical communication sector of data centers. Lumentum's acquisition of Cloud Light will expand the potential service market by more than 5 times, and its ELS business will bring twice the TAM expansion opportunity. After the production capacity of a single UHP laser wafer factory climbs, the annual revenue scale can reach 5 billion US dollars, and the laser has high profitability. With the overlapping cycles of NPO, CPO, and 1.6T pluggable optical module technologies, laser manufacturers are expected to enter new markets, and the market should give laser companies a higher valuation premium.