$FOCI Clean breakout, this is one of my bigger positions, and here is why:
The FOCI Thesis
There is one component that every co-packaged optics deployment cannot exist without.
Not the laser. Not the silithat will replacecon photonic chip. Not the switch ASIC.
The Fiber Array Unit. The precision connector that physically attaches the fiber to the photonic chip at nanometer tolerances. Without it, no light enters the system. Without it, CPO does not work.
FOCI invented it. FOCI patented it. And FOCI is the confirmed sole supplier for TSMC's COUPE platform β the architecture NVIDIA chose for Vera Rubin, the most important AI compute generation ever built.
Why This Moment Is Different
For decades, data centers connected racks with copper cables. Copper is cheap, simple, and works fine at short distances and modest speeds. But as AI clusters have scaled from thousands to hundreds of thousands of GPUs spanning entire buildings, copper has hit its physical limits. The signals degrade. The power consumption becomes untenable. The distances are too long.
Light through fiber is the only solution. This is not a projection β it is confirmed architecture. NVIDIA committed $4 billion to Coherent and Lumentum in March 2026 to pre-fund the laser supply chain. TSMC confirmed COUPE as the platform that will replace copper at scale for AI clusters. Michael Dell personally tweeted the first Vera Rubin NVL72 rack passing all diagnostics at CoreWeave on May 30, 2026.
The transition is not coming. It is happening.
What FOCI Actually Does
FOCI makes the Fiber Array Unit β the component that connects arrays of optical fibers directly to silicon photonic chips inside CPO modules. Their patented ReLFACon technology eliminates design customization, dramatically shortens qualification time, and creates a precision manufacturing moat that took years to build and cannot be replicated quickly.
They are founder-led by DD Hu, fully independent with no related-party complications, and have been building this exact technology since before CPO was a mainstream concept. When TSMC needed a FAU supplier for COUPE Gen 1 and Gen 2, there was one qualified name. FOCI.
The Demand Is Already Confirmed
Foxconn has begun early shipments of CPO switch racks to NVIDIA with 10,000 units in 2026 doubling in 2027. Astera Labs CEO confirmed at JPMorgan that 2027 scale-out CPO deployments are underway with glass coupler technology already in qualification with a major AI platform provider. AMD committed $10 billion to the Taiwan ecosystem with FOCI named explicitly as a direct beneficiary. Marvell is scaling its optical platform on TSMC COUPE β the platform FOCI supplies.
Morgan Stanley's analysis of the Vera Rubin NVL72 rack shows networking chips at $576,000 per rack β nearly double the prior generation. Every dollar of that networking spend flows through optical connections that require FAU connectors to function.
Goldman Sachs puts the CPO market at $91 billion by 2028. Bank of America puts total optical infrastructure at $73 billion by 2030. CPO adoption runs in three phases β scale-out switch connections now, inter-rack scale-up in 2027-2028, intra-rack in 2029-2031. FOCI participates in every phase. The market is only pricing the first one.
The Mispricing
FOCI trades at $2.7 billion market cap on the Taiwan TPEX exchange with no English-language analyst coverage, no US listing, and no institutional discovery.
POET Technologies β development stage, no production revenue, no confirmed NVIDIA supply relationship β trades at $3.1 billion.
LightWave Logic β pre-revenue, Stage 3 customer prototyping, cash runway to 2027 β trades at $1.8 billion.
The companies selling stories about the CPO future are valued comparably to the company that is already the confirmed sole supplier inside it.
This is not a valuation debate. It is an access problem. US institutions cannot easily buy a TPEX-listed Taiwanese mid-cap with Mandarin investor relations. The moment that changes β through a NASDAQ ADR filing, a major English-language supply chain disclosure, or NVIDIA publicly naming their CPO supplier β the discovery gap closes.
HIMX is the proof of concept. Same structure, same exchange, same dynamic. When HIMX listed its ADR on NASDAQ, institutional money found the name and the re-rating followed.
The Math Is Already Done
Sole supplier. Locked generations. Patented technology. $91 billion TAM. First rack already shipped and passing diagnostics. The revenue does not show up until 2027. The confirmation is happening today.
NVIDIA chose TSMC COUPE. TSMC COUPE needs FOCI. The math is simple. The market just hasn't done it yet.
I added to
$FOCI today, it is bouncing off the 50D MA and is looking like it's going to breakout