ASE Technology Holding has introduced a breakthrough co-packaged optics (CPO) device that integrates multiple optical engines with ASIC chips in a single package, achieving energy consumption below 5 picojoules per bit – a dramatic improvement over current solutions.
The Taiwan-based semiconductor giant developed the technology to address the exponential growth in data center power demands driven by AI adoption. CPO is emerging as an enabling technology for future AI hardware, primarily serving to interconnect servers in AI clusters.
ASE’s device represents a significant advancement over existing technologies. Current face-panel pluggable solutions consume approximately 30 pJ/bit, while on-board alternatives require 20 pJ/bit. The company’s CPO reduces this to under 5 pJ/bit, resulting in substantial energy savings for data centers.
“We’re committed to driving power efficiency through our CPO innovation,” said Chih-Pin Hung, ASE’s VP of R&D. He cited a McKinsey report projecting global data center capacity demand to grow at 27% CAGR between 2023-2030, reaching 298 GW – far exceeding current 60 GW capacity.
The technology also overcomes significant engineering challenges, including controlling substrate warpage and coplanarity to meet fiber array coupling requirements. This is crucial for optimizing data throughput while minimizing optical-related losses.
Market analysts expect significant growth for CPO technologies. The CPO sector is forecast to reach US$2.7 billion by 2028, with recent acquisitions highlighting its commercial potential.
As AI models grow more complex and data-intensive, ASE’s technology positions the company at the forefront of addressing computing’s most pressing power and bandwidth challenges in an increasingly AI-driven landscape.
