Lumentum Says Optical Component Orders Fully Booked Through Early 2029 on AI Data Center Boom

Deep News
2 hours ago

Lumentum Holdings Inc. has seen its optical component production capacity completely sold out through early 2029 as technology companies race to build faster AI data centers, according to the company's chief executive.

Michael Hurlston said in an interview in Tokyo on Friday that for some of the company's products, roughly 70% of demand will go unmet by the end of next year, while for other products, approximately 30% of demand will remain unfulfilled through 2028.

Just six months ago, Hurlston had only indicated that Lumentum's capacity was on track to sell out through 2028.

Earlier this year, Lumentum and rival Coherent Corp. each received a $2 billion investment from Nvidia. Coherent supplies advanced indium phosphide devices that support high-speed cloud computing and data transmission.

Analysts on average expect Lumentum's sales to more than double this year.

"We are really trying to keep up with the market and expand capacity as fast as possible, but we are still very, very far from meeting customer demand," Hurlston said. "Our orders are fully booked, and there is no end in sight to this situation."

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