Rising prices for server DDR5 have added a more direct piece of fundamental evidence for the semiconductor sector, which has recently been under pressure. This month, quotes for 32GB, 64GB, and 96GB DDR5 RDIMMs were raised in tandem, with overall increases of 15% to 23%.
Lumentum’s quarterly revenue exceeded USD 1 billion for the first time, indicating that demand for optical connections in AI data centers is no longer merely a supply-chain expectation, but is beginning to show up in revenue and profit statements. Quarterly revenue was USD 1.
The key to CoreWeave’s earnings report this time is not only how quickly AI computing-power leasing revenue can continue to grow, but whether that revenue can cover rapidly rising capital costs and leave sufficient returns.
The United States is reportedly drafting a policy to restrict additional imports of Chinese optical modules, aiming to exclude Chinese hardware from the U.S. AI infrastructure supply chain.
The impact of Middle East supply disruptions is no longer limited to rising crude oil prices. Concerns that the Strait of Hormuz will be difficult to fully reopen in the short term are transmitting risk to both U.S. Treasury yields and end-fuel supplies. This is more unfavorable for U.S.
AI trading is making a relative rotation from chip stocks to large platform stocks. On the day, both SPY and QQQ rose only about 0.2%, Nvidia fell about 1.7%, and AMD dropped about 1%; Microsoft rose about 2.5%, Meta gained about 2%, and Google also moved higher.
The concentration seen in market-cap-weighted indices does not necessarily mean that the entire market is rising solely on the back of a small number of large-cap stocks.
The memory shortage brought by AI does not mean that all storage products will benefit in the same way. Apple is reportedly testing CXMT memory chips for the iPhone and MacBook.
AAOI’s position in the AI data center optical module supply chain is becoming more important, but that does not mean policy changes will immediately generate more revenue. Management stated that the company’s existing capacity is sold out through the second quarter of 2027.
The risks facing the memory sector are no longer limited to whether the price cycle will peak. If higher-capacity, higher-specification HBM continues to occupy production lines, not only commodity DRAM but also SOCAMM2 supply could tighten.