izmo Microsystems and IIT Madras unveil a ₹99.94 crore program to push silicon photonics into commercial product development targeting AI infrastructure.

Insider Brief
- izmo Microsystems collaborates with IIT Madras for Phase II of the Centre for Programmable Photonic Integrated Circuits and Systems (CPPICS), featuring a total budget of ₹99.94 crore.
- The SPECTRA program aims to enhance silicon photonics applications in areas such as data-center transceivers and photonic computing for AI.
- izmo Microsystems will leverage its strengths in packaging, testing, and integration, including a 1.6 Tbps silicon photonics transceiver engine.
PRESS RELEASE — izmo Limited (NSE: IZMO) (BSE: 532341) has announced a significant partnership with the Indian Institute of Technology Madras (IIT Madras), launching Phase II of the Centre for Programmable Photonic Integrated Circuits and Systems (CPPICS).
This initiative, named Silicon Photonics Enabled Cutting-edge Technology Research and Applications (SPECTRA), has been supported by the Ministry of Electronics and Information Technology (MeitY) of India, allocating ₹99.94 crore for this five-year program. The funding includes ₹97.54 crore from MeitY, complemented by a ₹2.40 crore contribution from izmo Microsystems.
Phase II of CPPICS is set to transition silicon photonics technologies from an experimental phase to commercially viable products, focusing on photonic integrated circuit design, fabrication, testing, and system integration.
Silicon Photonics Meets AI Demands
The timing of this program is vital as optical connectivity becomes essential for AI and high-performance computing infrastructures.
As demands grow for GPU and accelerator clusters, data-center networks require significant increases in bandwidth while efficiently managing power, latency, and connector density. This trend drives the shift toward 800G and 1.6T optical interconnects, silicon photonics, and co-packaged optics (CPO).
Research from LightCounting indicates that global optical transceiver sales reached $26.8 billion in 2025, a remarkable 74% increase from the previous year. The optical transceiver market could approach $40 billion by 2026, with silicon-photonics-based solutions expected to dominate more than half of this market.
Furthermore, the optical chip segment tied to transceivers and advanced optical systems may see growth from $4 billion in 2025 to $15 billion by 2031, signaling a move toward commercial applications.
Focusing on High-Speed Optical Technologies
Phase II of CPPICS has ambitious targets, aiming to develop commercially viable photonic technologies across key application domains: high-speed optical transceivers for data centers, microwave photonics, quantum technologies, and photonic computing tailored for AI.
Among its objectives, the program includes creating a 1.6 Tbps silicon photonics transceiver engine operational at 1550 nm, specifically tailored for high-performance computing and data-center routing applications. Additional developments will focus on microwave photonic engines exceeding 50 GHz, as well as QRNG/QKD systems and photonic processors for AI.
Also proposed is a silicon photonics Process Design Kit entailing over 100 IP blocks for 200 mm wafer platforms, intended to support increasingly sophisticated photonic integrated circuit designs.
Industrializing Photonics with izmo Microsystems
One of the primary challenges in silicon photonics is transforming a designed photonic chip into a reliable and manufacturable optical system.
The CPPICS Phase II initiative prioritizes the establishment of a volume photonics packaging ecosystem, alongside izmo Microsystems, focusing on aspects such as precision assembly and production testing necessary for commercial success.
Under this collaboration, izmo Microsystems will expand its role, evolving from packaging architecture and CPO interface designs to integrating PICs with EICs, fiber attachment, quality packaging, process enhancement, prototype validation, and reliability assurance.
The five-year strategy aims for a certified design rule for co-packaged optics, creating a clear pathway from photonics research through to successful product deployment.
Dinanath Soni, Director of izmo Microsystems Pvt. Ltd., emphasized: “Silicon photonics is increasingly critical for the next generation of AI and data-center infrastructures as network speeds escalate beyond 1.6 Tbps.”
Soni further explained, “The focus has shifted. It's not just about designing photonic chips anymore; delivering a dependable product involves precision in packaging, fiber integration, and efficient testing. Our collaboration combines IIT Madras’ research capabilities with izmo Microsystems’ manufacturing expertise, accelerating the transition from prototypes to commercial systems.”
Progressing Beyond Phase I
Phase II builds on the successes of the initial CPPICS phase, which surpassed 95% of its milestones by developing research, intellectual property, and prototypes in areas such as programmable and microwave photonics.
This new phase broadens the program's reach towards industrialization and commercialization, encompassing applications in data centers, telecommunications, defense sectors, and advanced computing technologies.
Through this collaboration, izmo Microsystems aims to bolster its capabilities in advanced photonic packaging and strengthen its role in the global silicon photonics and optical interconnect markets tailored for AI and high-performance computing demands.
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