The author highlights XFAB as an emerging Silicon Photonics foundry alternative to TSEM an
The author highlights XFAB as an emerging Silicon Photonics foundry alternative to TSEM and GFS, backed by Europe and with evaluations from Nvidia. Development is expected to finish by October 2026, with production scaling into 2028 and mass production. The author believes the market misprices XFAB as a depressed automaker supplier, while it is leading the EU's efforts in silicon photonics. The risk/reward is seen as early-stage but with potential for commercialization.
“Why do I keep getting these questions!!! $XFAB is building a Silicon Photonics foundry alternative to $TSEM and $GFS. And has Europe backing it + $NVDA evaluations. It takes time... Like October 2026, should finish up development. Then 2027 production scaled into 2028 (mass production), since they've been working on it since 2023. Everyone thinks it’s a depressed automaker supplier right now. And thankfully with European names they tend to look at TTM revenue over forward growth. So somehow it’s leading EU’s efforts to create a $TSEM silicon photonics foundry + supply chain at ~€1.1B MC? That R&D directors from ASE cite + others as future CPO routes. I’m might just really early to a lot of things, but of course most of the risk/reward comes from taking a little leap of faith in seeing it commercialized. Otherwise people can take the de-risked route with Tower directly (which I also wrote a thesis on awhile back and also like).”Original post：X / @aleabitoreddit ↗