CREDO TECHNOLOGY (+) : Takeaways From Credo’s MicroLED Webinar

研报英文原文证据摘录

CREDO TECHNOLOGY (+) : Takeaways From Credo’s MicroLED Webinar

EQUITIES

IT HARDWARE

CREDO TECHNOLOGY OUTPERFORMPRICE* USD237.7  TARGET PRICE USD275 (UPSIDE 16%)

FLASH NOTE

Takeaways From Credo’s MicroLED Webinar

11 JUNE 2026 Securities Research Report Production time: 05:46* (London time)

Research Analyst & Publishing Entities

Karl Ackerman, CFA BNP Paribas Securities Corp (1) (+1) 415 846 1575 karl.ackerman@us.bnpparibas.com

What Happened?

Credo hosted a webinar on the use of MicroLEDs as a light source for optical interconnects. This is enabled by the

company’s acquisition of HyperLume, a developer of MicroLED-based optical interconnect technology for scale-up and

row-scale networks. As previously indicated, Credo noted that Active LED Cables (ALCs) offer the same reliability

(1000x more reliable than laser-based optics) and power profile as AECs supporting connections up to 30 meters and

requiring 75% less cable bulk (see our CREDO (+): Bull/Bear Discussion). This product doesn’t generate revenue today,

but we think ALCs could address short reach links being served by active optical cable (AOC). Credo has suggested

the ALC market could be twice the size of the AEC market, which continues to expand rapidly.

Benefits of MicroLED Technology

While MicroLED-based interconnects are not a new idea, it remains a nascent market given a few key technological

challenges such as optical cross-coupling, chromatic dispersion, and bit error rates (BER) meeting FEC requirements.

There has been increased industry interest in adopting wide-parallel MicroLED-based interconnects given compelling

scalability, reliability, and efficiency benefits relative to laser-based optics. Moreover, hundreds of parallel optical links