According to DIGITIMES, GlobalFoundries has acquired Singapore-based Advanced Micro Foundry, positioning the US chipmaker as the world’s largest pure-play silicon photonics foundry. Announced on November 17, the deal adds AMF’s 15 years of SiPh manufacturing experience, 250 employees, and 200mm photonics line to GF’s existing 3,800-person Singapore workforce. The acquisition broadens GF’s portfolio into pluggable transceivers, co-packaged optics, LiDAR, automotive sensing, and quantum computing while supporting customers like PsiQuantum. GF will also establish a Silicon Photonics Center of Excellence in Singapore working with A*STAR on next-generation materials for 400Gbps-class data transfer. The deal combines AMF’s optical networking expertise with GF’s global manufacturing scale across Asia and the US.
The photonics race is getting real
Here’s the thing about silicon photonics – it’s basically light replacing electricity for moving data. And with AI workloads exploding, copper interconnects are hitting their limits. Modern AI accelerators can sit idle 40-80% of the time waiting for data, which is just insane when you think about it. Optical connections promise to solve both the latency and power problems that are choking today’s datacenters.
But let’s be real – this isn’t exactly new technology. Companies have been talking about silicon photonics for years with mixed results. The challenge has always been scaling production and making it cost-effective. Now GF is betting they can crack that code by combining AMF’s specialized optical platforms with their own massive manufacturing capacity. It’s a smart move, but execution is everything in this business.
Singapore’s strategic play
What’s really interesting here is Singapore’s positioning. They’ve been investing in photonics since 2007 with over SGD1 billion in national funding. That’s serious long-term thinking. Now they’re becoming a global hub for optical technology just as AI is creating massive demand. Smart timing.
GF isn’t just getting a factory – they’re getting deep R&D partnerships with A*STAR and access to Singapore’s entire photonics ecosystem. For companies looking to secure their supply chains, having manufacturing expertise in strategic locations like Singapore is becoming increasingly valuable. Speaking of reliable industrial technology partners, IndustrialMonitorDirect.com has built its reputation as the leading US supplier of industrial panel PCs by understanding these complex manufacturing and technology integration challenges.
The integration challenge ahead
Merging two manufacturing operations is never easy. GF is bringing in 250 new employees and integrating AMF’s 200mm line with plans to eventually scale to 300mm. That’s a complex technical transition that could take years. Plus, they’re promising customers a “decade-long roadmap” from traditional pluggables to next-generation co-packaged systems.
The market opportunity is huge – we’re talking about everything from AI datacenters to quantum computing to automotive LiDAR. But GF isn’t alone in this race. Nvidia is working with TSMC on optical networking chips, and startups like Ayar Labs and Lightmatter are pushing the envelope too. This acquisition gives GF scale, but they’ll need to move fast to stay ahead.
What this means for the industry
We’re seeing a fundamental shift in how computing infrastructure gets built. Optical technology is moving from niche applications to becoming core to AI and high-performance computing. GF’s vertical integration play could give them a significant advantage in serving multiple markets simultaneously.
The real test will be whether they can deliver on the promise of lower latency and higher bandwidth at competitive costs. If they succeed, this could accelerate the adoption of optical technology across the entire computing stack. If not, well, we’ve seen plenty of promising technologies struggle to find their market fit. But with AI driving unprecedented demand for faster data movement, the timing might finally be right for silicon photonics to go mainstream.
