CIG (06166) saw a sharp intraday rise, currently up over 8%. As of writing, the stock has gained 8.09% to HK$100.9, with a turnover of HK$318 million. Industry research firm LightCounting predicts that the global optical module market size is expected to exceed $37 billion by 2029, with 1.6T optical modules set to enter their first year of commercial use in 2025; global demand is forecasted to be between 2.5 million and 3.5 million units.

Hualong Securities believes that, benefiting from strong demand for Ethernet switches and high-speed optical modules driven by AI infrastructure construction, coupled with the application and promotion of optical interconnect technology in AI scale-up networks, the optical module market size is expected to continue its rapid growth. The institution suggests that the rising demand for high-speed optical modules is likely to drive an improvement in the industry's profitability.

CIG previously announced plans to use H-share raised capital to inject an additional $100 million into its wholly-owned overseas subsidiary, CIG USA, for core strategic deployments including capacity expansion, R&D upgrades, market development, and supply chain security.

Furthermore, according to a previously disclosed investor relations activity record by CIG, mass shipments of its 1.6T optical modules are expected to begin in the first quarter of 2026. In 2026, shipments of 1.6T optical modules are projected to account for approximately 20% of the company's total, with this proportion expected to show an upward trend thereafter; 800G optical modules will still be the main contributor to shipments that year, and the respective proportions of these two products will be dynamically adjusted based on market demand and the company's capacity release.