News: Optoelectronics
26 March 2026
Lumentum to establish new US plant to manufacture indium phosphide lasers for AI data centers
Lumentum Holdings Inc of San Jose, CA, USA (which designs and makes photonics products for optical networks and lasers for industrial and consumer markets) plans to establish a new US manufacturing facility in Greensboro, North Carolina. The 240,000ft2 facility will produce indium phosphide (InP)-based optical devices that serve as critical components in the world’s largest AI data centers.
The site was acquired from Greensboro-based RF & power device maker Qorvo Inc and was selected for its highly skilled workforce, robust infrastructure, and supportive federal and state economic development environment, says Lumentum.
The facility is currently operational and will be retrofitted to manufacture Lumentum’s InP-based optical products including continuous wave (CW) and ultra-high-power (UHP) lasers. The purchase agreement includes the transfer of an experienced workforce, enabling Lumentum to accelerate capacity expansion and ramp production efficiently.
NVIDIA will serve as a customer of the facility, helping to expand US critical infrastructure and support R&D through previously announced strategic agreements with Lumentum. Lumentum also plans to support other leading AI infrastructure customers for their scale-out and scale-up optical requirements through this fab.
Strengthening US manufacturing and AI infrastructure
Lumentum says that, by expanding its domestic manufacturing footprint, it is enhancing supply chain resilience, advancing its onshoring strategy, and strengthening its ability to support hyperscale cloud and AI infrastructure networks.
The new facility will significantly expand the firm’s manufacturing capacity leveraging 6-inch InP wafers. The facility is expected to ramp production in mid-2028.
“Our customers are building the infrastructure that will define the next era of computing,” says CEO Michael Hurlston. “Adding this new InP manufacturing facility significantly expands our capacity, deepens our strategic partnerships, and ensures we can deliver the performance, reliability, and scale required for the AI revolution,” he adds.
“As AI workloads scale at an unprecedented pace, secure and reliable access to high-performance optical components is critical,” comments Debora Shoquist, NVIDIA’s executive VP of operations. “Lumentum’s investment in expanded US manufacturing capacity strengthens supply continuity and positions us to meet growing infrastructure demands with confidence.”
Economic and community impact
Lumentum plans to invest hundreds of millions of dollars over the next several years to scale production and strengthen advanced manufacturing capabilities at the site, while preserving and creating over 400 US manufacturing jobs.
New roles are expected to include fabrication process and equipment engineering, manufacturing technicians, operations, supply chain, quality, management, IT, HR, and finance. The project has been supported by state and local economic development programs.
“Having a strong semiconductor presence and a skilled workforce allows us to deliver the talent that industry leaders like Lumentum need to fulfill their expansion goals for serving the rapidly growing advanced AI market,” says North Carolina Commerce Secretary Lee Lilley.
NVIDIA announces strategic partnership with Lumentum to develop data-center optics
Lumentum’s quarterly revenue grows 65% year-on-year to $665.5m
