Sustained Technological Leadership in Optical Interconnect & Global Business Expansion

HGTECH maintains solid technological leadership in high-speed optical interconnect, with its full-stack capabilities in AI-oriented optical communication infrastructure substantially underestimated by partial market investors. The company’s long-term technological accumulation and multi-path R&D layout lay a solid foundation for sustained growth in the high-boom computing optical interconnect track.

The company adopts a parallel technological iteration strategy covering silicon photonics, LPO, CPO and NPO architectures, supported by three core optoelectronic platforms including InP, GaAs and SiP. Meanwhile, HGTECH actively deploys next-generation frontier technologies such as thin-film lithium niobate and quantum dot lasers, constructing a comprehensive technological barrier for future high-speed optical transmission upgrades. At OFC 2026, the company globally debuted the 12.8T XPO optical module on the opening day. Adopting innovative XPO architecture to break traditional bandwidth and density constraints, the new product boosts switch rack density by 4 times, fully adapting to next-generation AI data center infrastructure. Integrated with advanced liquid cooling solutions, the module effectively addresses heat dissipation pain points for high-power AI computing facilities and ensures long-term stable operation.

Furthermore, HGTECH has joined the XPO Multi-Source Agreement (XPOMSA) as a founding member, participating in the formulation of next-generation optical module industry standards. In-depth industrial collaboration further consolidates the company’s first-mover advantage in the next wave of high-speed optical interconnect iteration.

Accelerated Penetration in Overseas High-End Optical Module Market

HGTECH’s global commercialization process continues to accelerate. The company’s 1.6T optical modules have achieved batch delivery to overseas system integrators and channel vendors. As of March 2026, the company has launched 1.6T FRO and 1.6T LRO product sampling and validation procedures with all four leading North American cloud customers, advancing steady customer certification progress.

In terms of capacity preparation, the company’s monthly production capacity of 800G optical modules has exceeded 150,000 units as of March 2026, with aggressive capacity expansion underway for 1.6T products. The Phase I overseas capacity plan targets a monthly output of 250,000–300,000 high-speed optical modules. HGTECH plans to complete the construction of a new 40,000–80,000-square-meter overseas manufacturing base by the end of 2026 or early 2027, fully reserving production capacity for surging North American 1.6T order demand. Overall, the company’s overseas revenue is poised to maintain robust and sustained growth.

Intelligent Manufacturing Business Opens New Long-Term Growth Space

The growth potential of HGTECH’s intelligent manufacturing segment is significantly underestimated by market participants, with diversified high-end application scenarios unlocking long-term upward momentum. The company continues to advance global operational layout and build second growth curves through key customer strategy and overseas system export.

On new scenario expansion, the Intelligent Equipment Business Group delivers customized full-scenario “Laser +” solutions for high-barrier sectors including aerospace, solid-state batteries, shipbuilding and automotive manufacturing. The Precision Systems Business Group drives growth anchored by 3D printing, smart agriculture, 3C electronics and hydrogen energy equipment sectors.

Notably, HGTECH’s self-developed TGV laser drilling intelligent equipment has completed final prototype design and preliminary pilot verification. The equipment stably meets the high-precision production demands of advanced packaging scenarios, including 2.5D/3D AI chip packaging, CPO optical engine glass substrates, and high-end RF/MEMS substrates, empowering the company’s continuous penetration into high-value semiconductor and optoelectronic packaging markets.