AAOI burnt capex on US vertical integration, CW laser yield still poor

jwt0625 · x · 2026-09-30

Commentator jwt0625 argues AAOI over-rotated on vertical integration in the US: the supply chain doesn't move that fast, and the company has burnt significant capex on a CW laser line while yields remain poor.

A quoted analyst is blunter: UHP lasers are all that matters, and Coherent, most Chinese laser firms (except Yuanjie), Source Photonics and AAOI are all dismissible — 'a small army of losers promoted by people who don't understand lasers.' The thread reflects the vertical-integration debate and yield risks in the AI optical module supply chain.

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