5 Best Photonics Stocks to Buy Now

3. Applied Optoelectronics, Inc. (NASDAQ:AAOI)

On April 2, 2026, Applied Optoelectronics, Inc. (NASDAQ:AAOI) reported that it had received a new $71 million order for 800G single-mode data center transceivers from a major hyperscale customer. This brings the total to $124 million in orders from the customer since mid-March and more than doubles its previous backlog. The corporation looks ahead to the delivery of the initial order to reach $53 million, with the next order beginning in the second quarter.

Dr. Thompson Lin, founder and CEO, said that the new order had “the customer’s confidence in the firm and the growing demand for 800G optics.”  The company had shipped the first 10,000 units of another 800G transceiver order to a separate hyperscale data center customer.

Separately, on April 29, 2026, Applied Optoelectronics, Inc. (NASDAQ:AAOI) reported that Texas awarded the firm a $20.9 million Texas Semiconductor Innovation Fund grant to fund manufacturing growth in Sugar Land. The firm announced plans to build a 210,000 square-foot facility near its headquarters. This will create over 500 jobs and raise US production capacity for AI-focused data center transceivers.

Applied Optoelectronics, Inc. (NASDAQ:AAOI) develops and produces optical communication products. Its products include optical devices as well as modules and circuitry for fiber-to-the-home, cable television, point-to-point communications, and wireless applications.