Optical Transceiver Module Industry Chain

Optical transceiver module consists of transmitting unit, transmission unit and receiving unit. The transmitting unit inputs an electrical signal of a certain power. After being processed by the internal driver chip, the driving laser or light-emitting diode emits a modulated optical signal of corresponding power and transmits it through the optical fiber. The receiving end converts the optical signal into an electrical signal by a light detection diode, and output an electrical signal of corresponding power after passing through the pre-amplifier.

The upstream of the optical transceiver module industry includes optical chips, optical devices, electrical chips, etc. The downstream of the optical transceiver module industry mainly includes telecom operators, Internet and cloud computing companies, etc. The application fields of optical transceiver module products cover industries such as Internet services and the telecom market.

The optical transceiver module follows the packaging sequence of chip-assembly (OSA)-module. The laser chip and detector chip are formed into TOSA and ROSA through traditional TO packaging. At the same time, the supporting electrical chip is mounted on the PCB, and then the optical channel and optical fiber are connected through precision coupling, and finally packaged into a complete optical transceiver module. The emerging COB, which is mainly used in short-distance multi-mode, uses a hybrid integration method. The chip is mounted on the PCB through a special bonding and welding process and uses non-hermetic packaging. The upstream of optical transceiver modules is mainly optical chips and passive optical devices, and the downstream customers are mainly telecom main equipment manufacturers, operators and Internet & cloud computing companies. Therefore, optical transceiver modules have a broad and growing market space.

Optical transceiver modules can be divided into QSFP, QSFP28, CFP, CFP2, CFP4, CXP, SFP, CSFP, SFP+, GBIC, XFP, XENPAK, X2, SFF and other types according to the packaging method. Among them, SFP and QSFP have the advantages of high performance and low power consumption, and have become products currently used on a large scale.

Optical transceiver module rates can be divided into 1Gbps, 2.5Gbps, 10Gbps, 25Gbps, 40Gbps, 50Gbps, 100Gbps, 200Gbps, 400Gbps, 800Gbps, etc. According to market stratification by speed, low-speed optical transceiver modules have the greatest demand and can be used for broadband users, servers, and enterprise network access; higher-speed optical transceiver modules have smaller demand and are mainly used for long-distance communications by operators and data centers. The current growing demand for 100G/400G high data rate optical transceiver modules will synergistically drive the growth of the QSFP, QSFP-DD, and OSFP optical transceiver module markets.

According to the fiber access type, optical transceiver modules can be divided into single-mode optical transceiver modules and multi-mode optical transceiver modules. The transmission distance of multi-mode optical transceiver modules is shorter, usually between 500 meters and 2,000 meters, while the transmission distance of single-mode optical transceiver modules is longer, usually between 10 kilometers and 160 kilometers.

With the rapid development of the information technology industry and the rapid growth of data traffic, the performance index requirements for optical transceiver modules are getting higher and higher. Data rate, transmission distance, power consumption, and volume have become important considerations. At present, optoelectronic components are constantly improving in the direction of high speed, wide spectrum, small loss, low power consumption, high sensitivity, short delay, weak nonlinearity, high integration, small size, low price, and silicon photonics.

The current main application markets of optical transceiver modules include the data communication market, telecommunications market and emerging markets. The data communication market is the fastest growing market for optical transceiver modules. It has surpassed the telecommunications market to become the largest market and is the mainstream growth of the optical transceiver module industry in the future. The telecommunications market is the first market for optical transceiver modules. 5G construction will significantly boost the demand for optical transceiver modules for telecommunications. While emerging markets include consumer electronics, autonomous driving, industrial automation and other markets, which are the markets with the greatest potential for future development.

The downstream optical transceiver modules are mainly used in three major scenarios: telecommunications bearer network, access network, data center and Ethernet. Telecom bearer networks and access networks both belong to the telecom operator market. Wavelength division multiplexing (xWDM) optical transceiver modules are mainly used in medium and long-distance telecom bearer networks, and optical interconnects are mainly used in long-distance and long-distance backbone core networks. Capacity transmission, and the access network market is the "last mile" from operators to users, including fiber-to-the-home passive optical networks (FTTH PON), wireless fronthaul (Wireless) and other application scenarios. The data center and Ethernet market mainly includes data center internal interconnection, data center interconnection (DCI), enterprise Ethernet and other scenarios.

Telecommunications Market：Mainly used in base stations/PON/WDM/OTN/switches/routers and other equipment.

Data center market (data communications market)：Main application servers/top-of-rack switches/core switches and other equipment.