STMicroelectronics, Amazon Launch AI Photonics Chip for Data Centers

STMicroelectronics has launched a new photonics chip in collaboration with Amazon Web Services (AWS), targeting the rapidly growing AI datacenter market. This chip utilizes light instead of electricity to enhance communication speeds and reduce power consumption in transceivers, essential for advanced AI infrastructures. As US software firms invest $500 billion in AI infrastructure under the Stargate venture, demand for such specialized chips is expected to surge, with the optical transceiver market projected to grow from $7 billion in 2024 to $24 billion by 2030. Vincent Fraisse, general manager at STMicro, confirmed that AWS will integrate the new technology into its infrastructure as it becomes available later this year. The production of these chips will take place at ST's facility in Crolles, France. This collaboration highlights a significant shift towards more efficient AI data processing and positions STMicroelectronics and AWS at the forefront of innovation in the sector.