Nvidia to invest $2 billion in Lumentum under new optics partnership

According to a press release, the nonexclusive agreement includes a multibillion-dollar purchase commitment from Nvidia as well as future capacity access rights for advanced laser components. In addition, Nvidia will invest USD 2 billion in Lumentum to support research and development, expand future capacity and strengthen operations as Lumentum builds out US-based manufacturing through a new fabrication facility.

The companies state that optical interconnect technologies and package integration are increasingly critical for scaling AI systems, particularly in large-scale data centre and so-called AI factory deployments. Enhancements in silicon photonics and advanced optics are expected to improve energy efficiency and network resilience in high-performance AI environments.

Nvidia said the collaboration combines its expertise in AI, accelerated computing and networking with Lumentum’s capabilities in optics and advanced manufacturing. The investment is intended to enable Lumentum to scale manufacturing capacity and R&D efforts to meet anticipated demand from future AI data centres.

The Lumentum agreement was announced at the same time as a similar multiyear partnership between Nvidia and Coherent, likewise centred on advanced optics and backed by a USD 2 billion investment. Together, the deals underline Nvidia’s strategy to secure US-based optical component capacity and strengthen the domestic supply chain supporting AI data centre expansion.