Woodside Capital flags indium phosphide shortage as key constraint on AI optics supply

• Woodside Capital Partners flagged a supply-driven optical networking market shift, with indium phosphide shortages emerging as the key constraint.
• The analysis put demand for external modulated lasers more than 30% above supply, citing Lumentum shipping over 30% below demand.
• It projected Lumentum’s newest indium phosphide fab in Greensboro, North Carolina, is about two years from production.
• The report highlighted pluggable optics resilience, citing OSFP shipments above 120 million units this year, with 200 million projected for 2028.
• It argued co-packaged optics is a 2028 story, with volume near-term gains likely accruing to suppliers that can ship lasers and modules.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Woodside Capital Partners published the original content used to generate this news brief on October 05, 2026, and is solely responsible for the information contained therein.