Stocks related to optical communication and optical semiconductors showed mixed performance on the morning of the 1st, taking a short-term breather. It is interpreted that profit-taking sell-offs emerged for stocks that had recently shown strong upward momentum due to expectations of expanded investment in artificial intelligence (AI) data centers and the establishment of next-generation networks.

■ Fluctuations in Key Optical Communication & Optical Semiconductor Stocks (As of the morning of the 1st) On the morning of the 1st, Daehan Optical Communication fell by 7.49% to 21,000 won. Its intraday trading volume exceeded 7.4 million shares, recording the most active trading among optical communication-related stocks. Kwang Electronics dropped by 6.43% to 9,900 won, while Bitgwah Electronics traded at 4,335 won, a decline of more than 10%. Bitsaem Electronics also showed slight weakness.

On the other hand, some optical semiconductor-related stocks maintained their strong performance. Seoul Semiconductor recorded a 6.83% increase to 13,770 won, and Seoul Viosys also rose by 7.38%, drawing market attention.

■ Background of Emerging as Core Infrastructure in the AI Era The market is focusing on the explosive increase in data transmission volume caused by the proliferation of generative AI and hyper-scale data centers. As existing electrical signal-centric networks reach their processing limits, the demand for optical communication technology and optical semiconductors—which utilize light to transmit data—is surging.

In particular, global big tech companies such as Nvidia, Microsoft, Amazon, and Google have entered a competition to expand massive investments in AI infrastructure. As ultra-high-speed data transmission for connecting AI servers becomes essential, optical modules, optical cables, and optical semiconductor technologies are being evaluated as core components of the next-generation AI industry.

• ■ Business Status of Key Companies
• Daehan Optical Communication: A leading company in the optical cable and optical fiber sectors. Expected to benefit from the advancement of global communication networks and data center expansion.
• Kwang Electronics: Engages in the semiconductor and optoelectronic component business. Expected to expand in the automotive and industrial component markets.
• Bitgwah Electronics: Operates businesses related to optical communication equipment and communication networks.
• Bitsaem Electronics: Draws market focus in the fields of communication equipment and network solutions.

■ Future Outlook and Investment Variables The industry believes that as the scale of AI data centers expands, the importance of optical communication technology in terms of power efficiency and data processing speed will grow, likely accompanied by an increase in demand for related equipment. However, due to recent profit-taking movements following a short-term surge, some stocks such as Daehan Optical Communication, Bitgwah Electronics, and Kwang Electronics are undergoing sharp corrections, leading to expanded volatility.

The securities industry considers the expansion of global AI infrastructure investments to be a more important variable than short-term stock price movements. It is projected that future data center investment plans by US big tech companies and the pace of commercialization of next-generation optical communication technologies will determine the mid-to-long-term direction of related stocks. As the optical communication and optical semiconductor industries evolve from their past focus on communication infrastructure into core AI infrastructure industries, attention is focused on whether related companies will establish themselves as true beneficiaries of the full-fledged AI era.

[※ This article was written for the purpose of providing investment information, and investment decisions and responsibilities lie with the investor. AI was utilized in the process of writing this article.]