FCC drafts import ban on new Chinese optical transceivers for US data centers

The FCC is drafting a rule barring US imports of new models of Chinese optical transceivers, the modules that carry data over fiber inside data centers, with publication targeted for this year and the option to modify or shelve it still open. Innolight holds 27% of the global transceiver market while Coherent and Lumentum sell competitive technology without the scale to replace it, so the near-term effect on US cloud operators is higher cost and tighter supply, not a ready domestic substitute.

Source: usnews.com ↗