Samsung Asset Management said Saturday it has listed a new exchange-traded fund, KODEX US AI Optical Communication Network, that focuses on leading companies in the optical communication and networking sector.
The KODEX US AI Optical Communication Network ETF selects and invests in companies specializing in optical components and equipment that convert electrical signals into light to dramatically increase data transmission speeds. The fund specifically targets key companies addressing network bottlenecks, which have been identified as a physical limitation in running artificial intelligence (AI) systems.
The ETF's core portfolio centers on Lumentum and Coherent, the two dominant players in the global electrical-to-optical conversion space. Nvidia confirmed the strategic value of optical communication infrastructure by committing $2 billion in investment to each of Lumentum and Coherent at its recently held GTC 2026 conference.
Global big tech companies have been pouring massive investment into securing next-generation graphics processing units (GPUs) to strengthen their AI competitiveness. However, despite improvements in GPU performance, network infrastructure responsible for data transmission among multiple GPUs has been creating bottlenecks that limit overall system efficiency.
Industry analysts suggest that the payoff from AI investment hinges not merely on computing power but on the efficiency of interconnections between GPUs. Optical communication technology, which compensates for the limitations of conventional copper cable-based networks, is drawing particular attention as an alternative.
Optical communication converts electrical signals into optical signals, enabling high-speed, low-power data transmission. The technology has established itself as a core element of AI data center infrastructure, and investment demand for related companies is expanding accordingly.
"The competitive landscape of the AI era is rapidly shifting from 'who has more chips' to 'who can connect chips faster and more seamlessly,'" said Kim Cheon-heung, a fund manager at Samsung Asset Management. "Optical communication networks are a key driver of AI industry growth, and we have carefully selected only companies positioned to benefit most directly from this structural shift."
