Lumentum makes optical and photonic products used across telecommunications networks and data center interconnects. Its core products include lasers, optical amplifiers, and switching components—the technology enabling data to travel as light through fiber optic infrastructure. In the data center context, its most relevant products are the laser components inside high-speed optical transceivers: the EMLs and DFB lasers that convert electrical data signals into light for transmission over fiber cables connecting servers and switches.

AI GPU clusters require high-bandwidth optical links between racks and switches to move data at the speeds needed for coordinated AI computation. The standard link speed in AI networking has been transitioning from 400G to 800G, with 1.6T under development, and each generational increase requires optical components capable of operating at higher modulation rates. Lumentum's lasers are designed to operate at these speeds, and the transition to faster generations has driven both a product upgrade cycle and volume increases as more AI clusters are deployed.

Lumentum delivered Q2 FY2026 revenue of $665.5 million, representing over 65% year-over-year growth. The company has noted it is powering virtually every AI network, either through direct hyperscaler partnerships or as a critical component supplier, and is currently under-shipping customer demand by approximately 30%.