This report dives deeper into CPO for insight on the technology and applications, the benefits and issues, its impact on pluggable optics, and Cignal AI's predictions for CPO's future. Large-scale CPO deployment is still 3-5 years away, although initial commercial trials. Co-Packaged Optics (CPO) is a technology and design approach where optical components, such as lasers and photodetectors, are integrated alongside electrical components, like Application-Specific Integrated Circuits (ASICs), within the same package. Co-packaged optics overcomes these limitations by placing the optical engine much closer to. As AI clusters push beyond 100 Tb/s per node, the gap between what silicon can generate and what traditional copper interconnects can deliver is widening fast. Three hurdles are now colliding: First, power delivery is nearing practical limits. The. OFC 2025 made one thing clear: The transition to Co-Packaged Optics (CPO) switches in data centres is inevitable, driven primarily by the power savings they offer. From Jensen Huang showcasing CPO switches at GTC 2025 to a wide range of vendors demonstrating optical engines integrated inside ASIC.
[PDF Version]