China Galaxy Securities says compute-network construction and AI-driven demand are materially lifting optical-fiber demand. Both expansion at compute-network backbone layers and upgrades to intra-data-center optical interconnects are creating significant incremental volume. The market is in a structural shortage as demand growth far outpaces supply release; China Galaxy expects the supply gap may continue to widen. Leading suppliers with high preform self-sufficiency should see price gains conve

China Galaxy Securities says compute-network construction and AI-driven demand are materially lifting optical-fiber demand. Both expansion at compute-network backbone layers and upgrades to intra-data-center optical interconnects are creating significant incremental volume. The market is in a structural shortage as demand growth far outpaces supply release; China Galaxy expects the supply gap may continue to widen. Leading suppliers with high preform self-sufficiency should see price gains convert into outsized margin expansion. The fiber sector is shifting from a traditional telecom cyclical to a higher-growth compute-infrastructure theme.