Optical communication concept stocks experienced a notable upswing. At the time of writing, CIG (06166) had risen by 6.13% to HKD 88.3; FIT HON TENG (06088) increased by 5.74% to HKD 4.97; TIME INTERCON (01729) climbed 5.43% to HKD 15.54; and HUA HONG SEMI (01347) advanced 4.33% to HKD 97.6. The positive movement is attributed to recent developments. On January 15th, Taiwan Semiconductor Manufacturing Company's (TSMC) Chairman and CEO, C.C. Wei, and CFO Wendell Huang held an earnings call for Q4 2025. TSMC unveiled a capital expenditure plan for 2026 that could reach as high as $56 billion, a significant 37% increase from the actual expenditure of $40.9 billion in 2025, setting a new record high for the company. Furthermore, management stated that capital expenditures will see a substantial increase over the next three years, affirming that achieving a long-term gross margin of 56% or higher is a feasible target. A research report from Guotou Securities indicated that the relentless expansion of AI computing demand is sustaining the upward trajectory of the optical module industry's prosperity, creating opportunities across the entire industrial chain. The report highlighted that a new wave of AI computing infrastructure construction is driving robust growth in demand for high-speed optical modules. It is projected that global capital expenditure by cloud providers will continue its upward trend in 2026, fueled by the expansion of AI clusters, the ramp-up of new-generation computing platforms, and the commercialization of technologies like 1.6T and CPO, which together constitute the core driving forces.