Applied Optoelectronics Inc. (NASDAQ: AAOI) announced it received a volume order worth more than $53 million from a major hyperscale customer for 800G single-mode data center transceivers. The order is intended to help expand network capacity for AI-driven workloads.

The company expects shipments to begin in the second quarter of 2025 and complete by the middle of the third quarter of 2026, following product qualifications. Applied Optoelectronics stated this represents an initial order, with additional orders anticipated as the customer scales deployments across clusters and regions.

"AI infrastructure expansion is accelerating, and requires significantly higher bandwidth at scale," said Dr. Thompson Lin, founder, chairman and CEO. "Our customers are adopting 800G not just for capacity and performance, but to manage long-term operating costs."

The order follows a recent announcement of 1.6Tb orders from the same customer. Stefan Murry, chief financial officer and chief strategy officer, said the 800G order is expected to support GPU cluster development as part of the customer's large-scale infrastructure expansion plans.

Applied Optoelectronics provides optical and HFC networking products for data center and telecommunications applications. The information is based on a company press release.