Dongshan Precision said it has made small external sales of optical chips this
year but is prioritizing internal use and has not begun large-scale external
sales. Large-scale external sales will depend on adoption of next-generation
technologies such as in-cabinet interconnect; the company expects demand to ramp
gradually. It has completed optical-chip capacity preparations and plans to
start parallel external sales of optical modules and chips from a specified
future date. Its 1.6T product was used for customer testing and validation in Q3
and will move into relatively bulk shipments from Q4. DSP deliveries have been
constrained in recent quarters; the company expects noticeable improvement after
wafer capacity is released and does not expect this to affect next year’s
deliveries. DSP supply is currently allocated by quota. The company says it is
in a rapid customer-expansion phase and holds relative advantages.
