Nvidia CEO says power-saving optical chip tech will need to wait for wider use

Nvidia’s CEO Jensen Huang revealed at a conference in San Jose, California that while co-packaged optics technology will be used in new networking chips for energy efficiency, it is not yet reliable enough for flagship GPUs due to the superiority of traditional copper connections. Silicon Valley is investing in optics technology for AI systems, with companies like Ayar Labs and Lightmatter raising significant venture capital. Nvidia is aiming to increase computing power with new server releases in 2027 and 2028, as the industry navigates the transition from copper to optical connections for greater efficiency and scalability.

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