"The long term supply agreement with NVIDIA, it stretches out to the end of the decade. It's multiple products and it's multibillion dollar. And so that is a step function expansion in our partnership with NVIDIA."
"This is not an incremental contract renewal. This is a structural shift in how deeply Coherent is embedded in the AI infrastructure supply chain, locked in with the most important chip company on the planet through the end of the decade."
"NVIDIA CEO Jensen Huang framed the partnership as an effort to pioneer next-generation silicon photonics for AI infrastructure, emphasizing speed and energy efficiency. That is not supplier language. That is co-development language."
NVIDIA has established a significant long-term supply agreement with Coherent extending through the end of the decade, covering multiple products worth billions of dollars. This partnership focuses on silicon photonics and optical interconnects—technology that enables data movement between AI chips at speeds required for modern training clusters. NVIDIA invested $2 billion into Coherent as part of a broader initiative into advanced optical technologies. The partnership represents co-development rather than traditional supplier relationships. Coherent's financial performance reflects this strategic importance, with Q2 fiscal 2026 revenue reaching $1.69 billion, up 17.49% year-over-year. The Datacenter & Communications segment generated $1.208 billion, representing 72% of total revenue and growing 34% year-over-year. Coherent's data center book-to-bill ratio exceeded 4.0x, indicating four times more booked orders than shipped products.
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