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Nvidia, Intel Invest in Optical Chip Company

CScale, a startup focused on optical interconnect technology for AI data centers, just secured $145 million in funding, with Nvidia and Intel’s investment arms backing them. Founded in 2023, CScale is led by Martin Lund, who previously worked at Cisco. What’s interesting here is their approach; rather than just pushing for faster transmission rates, they’re prioritizing reliability within large AI clusters. This shift comes at a time when the limitations of traditional copper interconnects are becoming more apparent, especially as data center demands increase. It’s a fascinating turn in the ongoing debate between copper and fiber for data center wiring.