Lumentum, a specialist in high-speed optical I/O interconnects, has reported that its production capacity is fully booked through early 2029. CEO Michael Hurlston confirmed that customers are already placing orders for 2030 supply, highlighting a significant surge in demand.
The company is currently struggling to keep pace with market requirements. For the coming year, Lumentum expects to fulfill only 30% of customer demand for certain products. A similar supply deficit of 30% is projected for 2028, underscoring the ongoing challenges in scaling production.
To address these constraints, Lumentum is expanding its manufacturing footprint globally. The company plans to acquire a production facility in Japan and is reconfiguring existing office spaces to accommodate more manufacturing equipment. Despite these efforts, production growth continues to lag behind demand.
Looking ahead, the company identifies chip-level optical interconnects as a major growth opportunity. Lumentum anticipates that this specific market segment will experience a significant breakthrough starting in 2029, as the industry shifts toward more advanced connectivity solutions.
