Hua Hong Grace Semiconductor, a Shanghai-based contract chipmaker and China’s second-largest foundry, said on an earnings call that it plans to expand its silicon photonics business in 2027.

The move aims to meet growing demand from AI infrastructure.

Chairman and president Bai Peng said the company wants to participate in all silicon-based devices inside optical modules, which move data in AI systems.

Hua Hong disclosed the plan as it reported a 147% rise in net profit.

Bai added that power management chips are another area where the company plans to add significantly more capacity.

🔗 Source: South China Morning Post