STMicroelectronics (NYSE: STM), a global semiconductor leader serving customers across the spectrum of electronics applications, has unveiled its next-generation, proprietary technology that enables higher-performance optical interconnects in data centers and AI clusters.

ST is helping large-scale data center operators and major optical module suppliers address these challenges with new silicon photonics and next-generation BiCMOS technologies, and announced on the 25th that it plans to fully expand production of 800Gb/s and 1.6Tb/s optical modules from the second half of 2025.

As demand for AI computing explodes, performance and energy efficiency issues are emerging across compute, memory, power supplies, and the interconnects that connect them.

At the heart of interconnection in data centers are thousands, or even hundreds of thousands, of optical transceivers.

These devices convert optical signals into electrical signals and vice versa, enabling data flow between Graphics Processing Unit (GPU) computing resources, switches, and storage.

Inside this transceiver, ST's proprietary new silicon photonics (SiPho) technology enables customers to integrate multiple complex components. Supports integration into a single chip.

Additionally, ST's proprietary next-generation BiCMOS technology provides ultra-fast, low-power optical connectivity, a key enabler for continued AI growth.

“AI demands are accelerating the adoption of high-speed communication technologies within the data center ecosystem. The timing is right for ST to introduce our new, power-efficient silicon photonics technology, complemented by our next-generation BiCMOS technology, to enable customers to design next-generation optical interconnect products. This will enable 800Gbps/1.6Tbps solutions for large-scale data center operators,” said Remi El-Ouazzane, President of ST’s Microcontroller, Digital IC and RF Products Group. “Both technologies will be manufactured on our 300mm process line in Europe and will be independently available in high volumes to support two key components of our optical module development strategy. This announcement marks the first step in launching ST’s PIC family, and we will work closely with key partners throughout the value chain to become a key supplier of silicon photonics and BiCMOS wafers for the data center and AI cluster markets, whether for pluggable optics today or optical I/O in the future.”

Nafea Bshara, Vice President, Amazon Web Services (AWS), said, “AWS is excited to collaborate with ST on PIC100, a new silicon photonics (SiPho) technology that will enable interconnection between all workloads, including AI. We are working with ST because we believe that together, we have the capabilities to turn PIC100 into a market-leading SiPho technology for optics and AI. “We expect this collaboration to accelerate innovation in SiPho technology,” he said.

“The pluggable optics market for data centers has grown significantly to $7 billion in 2024 and is expected to reach $24 billion by the end of 2030, registering a compound annual growth rate (CAGR) of 23% from 2025 to 2030,” said Dr. Vladimir Kozlov, CEO and principal analyst at LightCounting. “The market share of silicon photonics modulator-based transceivers is expected to increase from 30% in 2024 to 60% in 2030.”