Tower Semiconductor and Scintil Photonics Announce Availability of World's First Heterogeneously Integrated DWDM Lasers for AI Infrastructure
MWN-AI** Summary
Tower Semiconductor and Scintil Photonics have unveiled the world's first heterogeneously integrated Dense Wavelength Division Multiplexing (DWDM) lasers designed specifically for AI infrastructure. This significant innovation utilizes Scintil’s SHIP™ (Scintil Heterogeneous Integrated Photonics) technology, seamlessly combining it with Tower's established silicon photonics platform. Such DWDM lasers are critical for Co-Packaged Optics (CPO), which are increasingly essential in managing the demands of AI infrastructure, such as ultra-low tail latency and enhanced GPU utilization.
The partnership aims to capitalize on the growing market for scale-up networking solutions as the industry shifts towards optical architectures. Alan Weckel from 650 Group emphasizes that manufacturing reliability is key for hyperscalers as they aim for efficient AI deployment. The combination of Tower’s manufacturing capabilities and Scintil's innovative laser technology, including the newly introduced LEAF Light™, positions them to meet the demand for high-performance optical interconnects.
Tower's versatility with a multi-site manufacturing footprint bolsters the partnership’s ability to deliver scalable solutions. The SHIP™ technology has already been validated on Tower's production lines, helping facilitate a smooth transition from product evaluation to mass manufacturing. This strategic alignment is critical as hyperscale AI ecosystems require networking solutions capable of significantly enhancing bandwidth while reducing power usage.
With the projected growth of the AI networking market, estimated at $200 billion by 2030, the introduction of DWDM CPO represents a pivotal advance. Both companies are set to showcase their innovations at the OFC 2026 Conference, highlighting the collaborative efforts to redefine optical interconnect technology for next-generation AI infrastructure.
MWN-AI** Analysis
The strategic partnership between Tower Semiconductor (NASDAQ: TSEM) and Scintil Photonics marks a pivotal development in the rapidly evolving AI infrastructure sector. By introducing the world's first heterogeneously integrated Dense Wavelength Division Multiplexing (DWDM) laser sources, Tower and Scintil are addressing the growing demands for high-bandwidth, low-latency interconnect solutions. As AI data center growth accelerates, the need for robust networking solutions becomes ever more pressing, highlighting the significance of this collaboration.
Tower's established global manufacturing footprint, combined with Scintil's innovative SHIP™ (Scintil Heterogeneous Integrated Photonics) platform, positions the duo to meet the complex requirements of hyperscale networks efficiently. Importantly, the production-ready LEAF Light™ laser source offers a pathway for hyperscalers to scale up their operations while ensuring energy efficiency—a crucial factor in cutting operational costs in AI-centric infrastructures.
With the AI Networking market projected to reach $200 billion by 2030, companies focused on optical architectures will likely see enhanced profitability and growth opportunities. Analysts predict that the transition to co-packaged optics (CPO) will reduce the bandwidth limitations imposed by traditional copper connections, thus opening new avenues for revenue. For investors, this indicates a potential bullish trajectory for Tower Semiconductor and Scintil Photonics as they cater to the needs of such a burgeoning market.
However, investors should remain aware of associated risks. Given the volatile nature of semiconductor markets and the technological challenges inherent in scaling operations, prudent due diligence is essential. Monitoring production capabilities, market acceptance of new technologies, and competitive dynamics will be crucial for informed investment decisions. Overall, investor sentiment towards TSEM and Scintil appears favorable, given the transformative potential of their DWDM technology in the AI infrastructure domain.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
Combined with Tower’s multi-site global footprint, Scintil’s unique SHIP™ platform is ready to take on the challenging requirements of the next generation Hyperscale AI Infrastructure
MIGDAL HAEMEK, Israel, and GRENOBLE, France, February 17, 2026 - Tower Semiconductor (NASDAQ/TASE: TSEM), the leading foundry for high-value analog semiconductor solutions, and Scintil Photonics, the technology leader in Heterogeneous Integrated Photonics for next-generation AI infrastructure, today announced availability of the world’s first heterogeneously integrated Dense Wavelength Division Multiplexing (DWDM) laser sources for AI infrastructure using Scintil’s SHIP™ (Scintil Heterogeneous Integrated Photonics) technology. SHIP™ leverages Tower’s high-volume silicon photonics platform and combines it with heterogeneous integration of monolithic laser sources, capable of meeting the most demanding DWDM technical requirements for AI.
DWDM lasers are an essential component of Co-Packaged Optics (CPO) based next generation of AI infrastructure that aims to deliver ever-growing bandwidth density, ultra-low tail latency, and lower energy per bit, while improving GPU utilization and hyperscaler ROI needed in the agentic AI era.
"The scale-up networking opportunity is about to increase significantly as these server interconnects move to multirack CPO. Scale-up networking will consume an increasing portion of AI Networking's $200B 2030 market as the market moves towards optical architectures, reducing the constraints on beachhead and copper bandwidth limitations per GPU/XPU," said Alan Weckel, Founder and Technology Analyst at 650 Group, LLC. "Manufacturing and foundry to vendor alignment is the key to unlocking the CPO market to ensure the reliability and volumes that Hyperscalers need to hit their AI goals."
Scintil's SHIP™ technology has been validated on Tower's silicon photonics platform. LEAF Light™ is the industry's first DWDM-optimized, intelligent integrated laser source fabricated with SHIP™. Tower Semiconductor's multi-site silicon photonics manufacturing footprint provides resilient capacity and supply continuity aligned with hyperscale deployment needs. This positions the partnership for high-volume hyperscale deployment with the capacity flexibility and supply continuity required at scale. The collaboration supports customer evaluations for DWDM CPO programs, establishing a defined path from qualification to volume manufacturing.
"Next-generation AI infrastructure demands optical interconnects that deliver more bandwidth per fiber at lower power per bit," said Matt Crowley, Chief Executive Officer of Scintil Photonics. "DWDM co-packaged optics meets that bar. LEAF Light™ brings the DWDM laser source technology; Tower's SiPho platform brings the manufacturing scale. With SHIP™ now validated on Tower's production lines, customers have a path from evaluation to millions of units per month."
"We deeply value our long-term partnership with Scintil, and are excited to bring this revolutionary monolithic DWDM laser technology to market to enable next generations of scale-up architectures,” said Dr. Ed Preisler, VP and GM of RF Business Unit at Tower Semiconductor. “Scintil’s technology complements our PH18M platform already in mass production for optical transceivers at our facilities worldwide.”
As AI data center growth accelerates, hyperscalers need networking solutions that reduce power, improve utilization, and scale with the next generation of models. DWDM CPO, with higher bandwidth density, lower energy per bit, and ultra-low tail latency, are where the industry is heading. LEAF Light™ is the first production-ready DWDM laser source that uses heterogeneous integration to monolithically integrate active lasers and established silicon photonics on a single chip.
Additional information and OFC:
For more detailed information on this and Scintil manufacturing roadmap, please visit Scintil at the OFC 2026 Conference in Los Angeles, March 17–19, booth# 5537.
To learn more about Tower’s advanced silicon photonics (SiPho) platform and RF & HPA technology offerings, visit Tower’s booth #2221 at the upcoming OFC 2026 conference, March 17-19, 2025. Additional information is also available on the company’s website: here.
Representatives from both companies will be available for meetings during the event.
About Tower Semiconductor
Tower Semiconductor Ltd. (NASDAQ/TASE: TSEM), the leading foundry of high-value analog semiconductor solutions, provides technology, development, and process platforms for its customers in growing markets such as consumer, industrial, automotive, mobile, infrastructure, medical and aerospace and defense. Tower Semiconductor focuses on creating a positive and sustainable impact on the world through long-term partnerships and its advanced and innovative analog technology offering, comprised of a broad range of customizable process platforms such as SiPho, SiGe, BiCMOS, mixed-signal/CMOS, RF CMOS, CMOS image sensor, non-imaging sensors, displays, integrated power management (BCD and 700V), and MEMS. Tower Semiconductor also provides world-class design enablement for a quick and accurate design cycle as well as process transfer services including development, transfer, and optimization, to IDMs and fabless companies. To provide multi-fab sourcing and extended capacity for its customers, Tower Semiconductor currently owns one operating facility in Israel (200mm), two in the U.S. (200mm), and two in Japan (200mm and 300mm) which it owns through its 51% holdings in TPSCo and shares a 300mm facility in Agrate, Italy with STMicroelectronics. For more information, please visit: www.towersemi.com.
Safe Harbor Regarding Forward-Looking Statements
This press release includes forward-looking statements, which are subject to risks and uncertainties. Actual results may vary from those projected or implied by such forward-looking statements. A complete discussion of risks and uncertainties that may affect the accuracy of forward-looking statements included in this press release or which may otherwise affect Tower’s business is included under the heading “Risk Factors” in Tower’s most recent filings on Forms 20-F, F-3, F-4 and 6-K, as were filed with the Securities and Exchange Commission (the “SEC”) and the Israel Securities Authority. Tower does not intend to update, and expressly disclaim any obligation to update, the information contained in this release.
Tower Semiconductor Company Contact: Orit Shahar | +972-74-7377440 | oritsha@towersemi.com
Tower Semiconductor Investor Relations Contact: Liat Avraham | +972-4-6506154 | liatavra@towersemi.com
About Scintil Photonics
Scintil Photonics is the global leader in DWDM laser sources for AI. Using its SHIP™ (Scintil Heterogeneous Integrated Photonics) technology, Scintil developed LEAF Light™, the world’s first single-chip DWDM laser source for high-density optical connectivity in scale-up networks. LEAF Light™ enables hyperscalers to meet the power, tail latency, utilization, and bandwidth demands of large-scale GPU clusters, leveraging next-generation co-packaged optics (CPO). Headquartered in Grenoble, France, with operations across North America, Scintil is built to support global needs for advanced AI infrastructure.
www.scintil-photonics.com
Scintil Media Contact: Isaac Lopez | OmniScale Media (For Scintil Photonics) | 360-576-5475 |
isaac@omniscalemedia.com or For press inquiries in France or Europe, please contact cassandre@scintil-photonics.com.
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FAQ**
How does Tower Semiconductor Ltd. TSEM's multi-site manufacturing approach enhance the reliability and scalability of the SHIP™ technology for hyperscale AI infrastructure?
What specific advantages does the LEAF Light™ DWDM laser source provide for hyperscalers in terms of power consumption and bandwidth density compared to traditional optical solutions?
In what ways do you foresee Tower Semiconductor Ltd. TSEM and Scintil Photonics leveraging their partnership to meet the evolving demands of the $200B AI Networking market by 2030?
Can you elaborate on how Scintil Photonics' SHIP™ technology has been validated on Tower Semiconductor Ltd. TSEM's silicon photonics platform and its implications for future product developments?
**MWN-AI FAQ is based on asking OpenAI questions about Tower Semiconductor Ltd. (NASDAQ: TSEM).
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