Samsung Active Asset Management and NH-Amundi Asset Management listed optical communication infrastructure themed ETFs on the 14th, according to Korea Exchange on the 17th. The two asset managers launched competing products targeting next-generation AI infrastructure as global big tech companies shift investment focus from power grids to optical communication networks. The new ETFs reflect the paradigm shift in AI infrastructure investment, where data center bottleneck solutions through optical communication technology are gaining prominence over traditional copper-based power distribution systems.
The financial investment industry analyzes that the center of gravity in AI infrastructure investment is moving from "power grid expansion and transformers" (copper lines) to "optical communication and satellite networks" (glass lines) to resolve data center bottlenecks. Optical communication technology uses fiber optic cables instead of copper cables, which the market refers to as "glass lines." The importance of optical communication technology, which can reduce data transmission bottlenecks, is rapidly growing as AI computational volume explosively increases.
Goldman Sachs Forecasts Optical Networking Market Expansion
Goldman Sachs identified "Optical Networking" technology as a core driver of AI infrastructure expansion in a recent report. Optical networking is a core technology that maximizes the performance of a single AI chip while connecting numerous chips without delay. Goldman Sachs forecasted that the related market size would expand approximately 9 times to about $154 billion if NVIDIA's next-generation AI server platform Rubin Ultra (NVL576) is fully introduced compared to existing models.
Yoo Seung-min, researcher at Samsung Securities, stated: "Even at a time when the efficiency of AI infrastructure investment is emphasized, demand for ultra-high-speed networks to resolve data transmission bottlenecks is stronger than ever. The optical communication sector, which is an essential gateway for AI evolution, will continue to provide attractive investment opportunities."
Samsung Active Launches Active Strategy ETF with 20 Stocks
Samsung Active Asset Management introduced the 'KoAct Optical Communication & Satellite Network Active' ETF, an active product that can flexibly adjust constituent stocks according to market conditions in line with the fast-changing technology characteristics of the AI industry. The ETF set the 'FnGuide Low Earth Orbit Satellite & Optical Communication Infrastructure Index' as its benchmark index. This index consists of core companies across the satellite, space, and optical communication value chain, including low earth orbit satellites. Samsung Active Asset Management composed a portfolio of a total of 20 stocks using this index, including 10 low earth orbit satellite stocks and 10 optical communication infrastructure stocks.
NH-Amundi Introduces Passive TOP10 Optical Communication ETF
NH-Amundi Asset Management introduced 'HANARO US AI Optical Communication TOP10,' which tracks 10 core companies leading the US AI optical communication market based on a passive strategy. This product uses the 'INDXX US AI Optical Communication TOP10 Index' as its base index.
Major expected constituent stocks include Marvell Technology, Coherent, Lumentum Holdings, Corning, and FormFactor. The portfolio consists of companies representing the optical communication equipment and optical semiconductor value chain for AI data centers, including Tower Semiconductor, Applied Optoelectronics, Viavi Solutions, Ciena, and AXT.
FAQ
What did Samsung Active and NH-Amundi do on the 14th?
Samsung Active Asset Management and NH-Amundi Asset Management listed optical communication infrastructure themed ETFs on the 14th, according to Korea Exchange on the 17th. The two products target next-generation AI infrastructure as investment focus shifts from power grids to optical communication networks.
Why are optical communication networks gaining importance in AI infrastructure?
Optical communication technology is gaining importance because it can reduce data transmission bottlenecks as AI computational volume explosively increases. The financial investment industry analyzes that AI infrastructure investment is moving from power grid expansion to optical communication and satellite networks to resolve data center bottlenecks.
What is Goldman Sachs' forecast for the optical networking market?
Goldman Sachs forecasted in a recent report that the optical networking market size would expand approximately 9 times to about $154 billion if NVIDIA's next-generation AI server platform Rubin Ultra (NVL576) is fully introduced compared to existing models. Goldman Sachs identified optical networking technology as a core driver of AI infrastructure expansion.
