NVIDIA invests $6.5B in photonics firms to boost AI efficiency

NVIDIA invested $6.5 billion over three months in photonics technology firms including Lumentum, Coherent, and Marvell. The spending targets energy inefficiency in AI data transfer by using light instead of electricity. Photonics reduces energy consumption compared to copper-based electrical data transfer. The moves support AI infrastructure scaling without rising energy costs. The company focuses on CUDA ecosystem expansion for AI and data center applications.