Goldman projects the TAM for optical networking tied to AI to grow 9x, rising from roughly $15B in 2026 to $154B by 2028.
They segment optical networking across two key subcategories:
1) Scale-up networking, which is high-bandwidth connections within racks, accounts for $106B of the total TAM.
2) Within scale-up networking are co-packaged optics (CPO), which integrate optical engines directly with processors for maximum efficiency, accounting for $91B of the total TAM.
$Broadcom(AVGO)$ $Marvell Technology(MRVL)$ $Lumentum(LITE)$ $Nokia Oyj(NOK)$ $COHERENT(COHR)$
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