Taipei: Nvidia Corp. announced it has started shipping next-generation co-packaged optics (CPO) switches developed in collaboration with Taiwan Semiconductor Manufacturing Co. (TSMC). The U.S. tech giant aims to address data transmission and power consumption challenges in AI data centers with this new technology.

According to Focus Taiwan, the announcement was made by Gilad Shainer, Nvidia’s senior vice president of networking, during the Nvidia GTC in Taipei. Shainer stated that the new Spectrum-X CPO switch is being shipped to select partners. The switch uses Nvidia’s advanced CPO technology, offering a throughput of up to 400 terabits per second. Production capacity is expected to increase in the latter half of the year.

CPO switches are equipped with integrated optical engines that convert electrical signals into optical signals, directly connected with switch chips. This integration allows for more efficient data transmission and reduced power consumption. The demand for these switches arises as AI factories expand their computing capacities, making bandwidth and power consumption vital factors in AI performance.

Shainer emphasized that Nvidia is advancing CPO technology to enhance the performance-to-power ratio in AI factories. By integrating optical engines with switch chips, Nvidia moves beyond traditional designs, minimizing power consumption and transmission distances. TSMC has been instrumental in the packaging process, collaborating with Nvidia to adopt its new COUPE silicon photonics packaging platform. This innovation enables the reliable and flexible packaging of optical engines, switch chips, and related components, facilitating volume production.

Shar Narasimhan, Nvidia’s director of product marketing for data center GPUs and AI training, also spoke at GTC Taipei. He highlighted Taiwan’s role as a crucial partner, noting the region’s hardworking nature and advanced technology as strengths that significantly support Nvidia’s scaling of new systems. With the global demand for AI computing power surpassing available capacity, Taiwan’s ecosystem is essential for expanding production capabilities worldwide.