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AI Business & IndustryDIGITIMES AsiaPublished: Aug 12, 2026, 19:01 JST2 min read

Co-packaged optics ecosystem lacks testing standards, ASE warns

Co-packaged optics ecosystem lacks testing standards, ASE warns

Key takeaway

  • Co-packaged optics has emerged as a critical technology for AI infrastructure, but the industry is not yet ready to deploy it widely.

  • ASE's Nicole Tien told the OCP APAC 2026 conference that shared testing standards and simulation tools—essential for reliable design and validation—are still missing, creating a significant gap between technology potential and operational readiness.

3 Key Points

  1. What happened

    At OCP APAC 2026, ASE senior technical program manager Nicole Tien stated that co-packaged optics—a key technology for AI infrastructure—lacks the shared testing standards and simulation groundwork required for widespread deployment.

  2. Why it matters

    Co-packaged optics represents a critical shift in how data centers handle the enormous data flows that AI systems demand. Without industry-wide standards and simulation tools, manufacturers and data center operators face uncertainty in designing, validating, and deploying these systems at scale.

  3. What to watch

    The gap between demand for co-packaged optics and readiness to deploy it suggests that standardization efforts across the industry will become a near-term priority before the technology can move from pilot projects to mainstream adoption.

In Depth

Read the full story

ASE senior technical program manager Nicole Tien addressed attendees at OCP APAC 2026 to underline a paradox in AI infrastructure development: co-packaged optics has become recognized as a critical inflection point—a fundamental technological shift required to handle the data demands of modern AI systems. Yet the ecosystem remains unprepared. Tien identified two specific areas where the industry has fallen short: shared testing standards and simulation groundwork. Without standardized testing protocols, different vendors cannot verify that their co-packaged optics solutions will work reliably in production environments or interoperate with other components. Equally important, the lack of mature simulation tools means that architects and engineers cannot accurately model system behavior before committing to large capital investments in hardware and infrastructure. This mismatch between technological urgency and operational readiness creates friction. Manufacturers cannot confidently validate designs; data center operators cannot plan deployments with full confidence; and the industry as a whole cannot move in a coordinated direction. Tien's intervention at the conference signals that ASE, a major player in the semiconductor ecosystem, sees standardization as a prerequisite for the next phase of AI infrastructure maturity.

Context & Analysis

Co-packaged optics has shifted from a theoretical concept to a practical necessity in AI infrastructure design, driven by the exponential growth in data processing demands. However, Tien's remarks at OCP APAC 2026 highlight a critical maturity gap: the industry has identified the technology as essential but has not yet aligned on the foundational tools—standardized testing protocols and simulation environments—that would enable confident, interoperable deployment across vendors and operators. This gap suggests that while individual companies may be moving forward with proprietary solutions, the broader ecosystem cannot yet reach consensus on validation and performance benchmarking. Until these standards and simulation frameworks exist, widespread adoption remains constrained, and organizations deploying co-packaged optics face higher technical and commercial risk.

FAQ

What is co-packaged optics and why does it matter for AI?
Co-packaged optics integrates optical components directly with computing chips to handle the massive data volumes AI systems require. Tien identified it as an inflection point for AI infrastructure, meaning it represents a fundamental shift in how data centers will need to be designed and operated.
What is missing from the ecosystem right now?
According to Tien, the industry has not yet built shared testing standards or the simulation groundwork that co-packaged optics technology needs to be reliably deployed at scale.
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