# Opinion: Credo Technology Group unveils 1.6‑terabit ZeroFlap Active Light Cable

Digest AI · Hardware & Compute · published 2026-10-22T17:45:00Z

Canonical: https://digestai.news/story/opinion-credo-technology-group-unveils-1-6terabit-zeroflap-active-ligh

## Summary

Credo Technology Group (CRDO -10.04%) designs active electrical cables (AEC) that let hyperscalers link servers and switches at 800 gigabits per second over copper. The company also sells the retimer and digital signal processor chips inside those cables, plus optical DSPs, PCIe retimers and licensed IP. Revenue in the quarter ended Aug. 1 more than doubled from a year earlier, and the stock has more than tripled in three years, though it has already fallen over 40% from its high earlier this year.

In May Credo closed its acquisition of DustPhotonics, an Israeli silicon‑photonic firm, and said the combined optical portfolio should become a “significant growth driver” in fiscal 2027. At the Open Compute Project summit in San Jose this month the company introduced a 1.6‑terabit ZeroFlap Active Light Cable. The cable uses a dense array of tiny light emitters to deliver copper‑level reliability out to 50 meters, draws about 30% less power than a comparable copper AEC and weighs a tenth as much. The product is slated to ship in 2027.

Credo’s revenue is concentrated among a few hyperscalers, making quarterly results volatile. CEO Bill Brennan sold about $2.5 million of stock in September. Investors comfortable with a volatile growth stock might consider a position before the Dec. 2 earnings report, especially if the optical products ramp on schedule.

## Key points

- Credo’s AECs enable 800 gigabits per second connections over copper.
- Revenue for the quarter ended Aug. 1 more than doubled year over year.
- Credo unveiled a 1.6‑terabit ZeroFlap Active Light Cable that draws ~30% less power and weighs a tenth as much.

## Why it matters

The shift from copper to silicon‑photonic optics could lower power and weight for AI data‑center interconnects, affecting cost and scalability of large AI clusters.

## Sources

1. [Not Nvidia. Not Micron. This Little-Known Chip Stock Is the AI Boom's Best-Kept Secret.](https://fool.com/investing/2026/10/23/not-nvidia-not-micron-this-little-known-chip-stock) (fool.com, 2026-10-22)

## Cite

Digest AI, "Opinion: Credo Technology Group unveils 1.6‑terabit ZeroFlap Active Light Cable", 22 October 2026, https://digestai.news/story/opinion-credo-technology-group-unveils-1-6terabit-zeroflap-active-ligh

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