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Aeluma Shares Surge on Partnership with Sumitomo to Produce AI Photonics Wafers
Shares of Aeluma Inc. (NASDAQ:ALMU) surged in premarket trading Tuesday after the semiconductor company announced a wafer production agreement with Sumitomo Chemical Advanced Technologies (SCAT). The partnership is focused on developing and qualifying photonics products for the high-demand AI data communications market.
Details of the Agreement
The collaboration will initially leverage existing metalorganic chemical vapor deposition (MOCVD) capabilities at SCAT's manufacturing facility in Phoenix, Arizona, according to the company's statement. The agreement, which builds on a multi-year relationship, also includes provisions for future expansion of production capacity.
"SCAT is an ideal partner to pair with Aeluma’s in-house MOCVD that is capable of producing wafers of any size, including large-diameter 150, 200, and 300mm substrates," said Jonathan Klamkin, Founder and CEO of Aeluma. He added that the agreement aims to accelerate development, qualification, and production.
Addressing Supply Constraints
The partnership targets the production of high-performance components like photodetectors and lasers, which are critical for AI infrastructure. It specifically addresses a key industry bottleneck: supply limitations for traditional Indium Phosphide (InP) substrates.
AdAeluma's technology utilizes a non-InP platform that employs a heterogeneous integration approach. This allows the company to use more readily available and larger substrates, including:
- 150mm gallium arsenide
- 200mm to 300mm silicon
This approach contrasts with traditional InP-based manufacturing, which is typically limited to 100mm substrates and smaller, facing significant supply challenges amid growing demand.
Market Reaction
Investors reacted positively to the news, which positions Aeluma to better serve the rapidly growing AI datacom sector. Following the announcement, shares of Aeluma rose 7.4% in Tuesday's premarket trading session.
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