Silicon photonics network developer Rockley Photonics Ltd. and fiber optic communications developer Hengtong Optic-Electric Co. Ltd. have formed a joint venture to manufacture high-performance optical transceiver modules based on silicon photonics technology.

The joint venture was established through a $42 million co-investment led by Hengtong Optic-Electric to commercialize Rockley Photonics’ advanced photonics technology for networking applications. The venture will manufacture and sell silicon photonics optical modules to meet the burgeoning market for high-speed data communication including carrier networks, internet data centers, high-performance computing and deep learning applications.

The new products will employ Rockley Photonics’ innovations for high-density optical integration with innovative monolithic fiber attach technologies and an all-CMOS electrical chipset to offer a new generation of photonic optical transceiver modules delivering lower power and high manufacturing efficiencies.

“Demand for high-speed optical interconnect is increasing at an unprecedented rate, and technology providers must demonstrate capacity to deliver solutions at high-volume scale,” said Andrew Rickman, CEO of Rockley Photonics. “Hengtong Optic-Electric is a recognized manufacturing leader for fiber optic technologies, and we are excited to partner with them in delivering our next-generation solutions.”

“Silicon photonic technology is reshaping the economic structure of the optical module market,” said Weiming Shi, announcer of Hengtong Optic-Electric and general manager of Jiangsu Hengtong Optical Network Technology Co. Ltd.. “The joint venture will employ Hengtong’s advanced R&D of optical module and intelligent manufacturing technology, along with Rockley’s worldwide first-class silicon photonic technology platform. We are pleased to work together with Rockley to deploy these technologies, and the combination of our companies with help satisfy the worldwide demand for low-power, cost-effective optical modules.”

Rockley Photonics is a fabless vendor of silicon photonics chipsets, internet protocol and design services for high-volume optics applications in data communication network applications. Hengtong Optic-Electric is a main supplier in the global cable market focused on optical fiber and cable manufacturing.