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CPO vs On-Board Optics

By C-LIGHT Marketing 丨 Oct 4, 2026
Table of Contents

    Co-Packaged Optics (CPO) and On-Board Optics (OBO) are two approaches to moving optical engines closer to high-speed switch ASICs and computing devices. Both are designed to address the electrical loss, power consumption, signal integrity, and bandwidth-density challenges that become increasingly difficult as network speeds move from 800G toward 1.6T, 3.2T, and beyond.

    The main difference is the level of integration. In an OBO architecture, the optical engine is mounted on the same printed circuit board as the packaged ASIC but remains a separate component. In CPO, the optical engine is integrated into the same package or package substrate environment as the switch ASIC.

    This difference changes the electrical interconnect length, thermal architecture, serviceability, packaging requirements, and overall system design.

    1. What Is On-Board Optics?

    On-Board Optics, commonly abbreviated as OBO, places the optical engine on the system PCB near the switch ASIC or other high-speed electronic device.

    The optical engine remains physically separate from the ASIC package. High-speed electrical signals therefore travel from the ASIC package across a relatively short PCB connection to the optical engine before being converted into optical signals.

    Compared with front-panel pluggable optics, OBO significantly reduces the electrical distance between the ASIC and optical conversion point.

    OBO is sometimes also described as board-mounted optics.

    2. What Is Co-Packaged Optics?

    Co-Packaged Optics places the optical engine much closer to the switch ASIC by integrating optical and electronic components within the same package or package-substrate architecture.

    Instead of routing high-speed electrical signals across a large section of the system PCB, the electrical connection between the ASIC and optical engine is reduced to a much shorter package-level path.

    This architecture is intended to address the increasing electrical-channel loss and power associated with very high-speed interfaces.

    CPO can use silicon photonics, InP-based optical devices, VCSEL technologies, external laser sources, or combinations of these technologies depending on the implementation.

    3. CPO vs OBO at a Glance

    FactorOn-Board OpticsCo-Packaged Optics
    Optical Engine LocationOn the system PCB near the ASICIntegrated with the ASIC package or package substrate
    ASIC-to-Optics DistanceShortVery short
    Electrical ChannelPCB traces between ASIC and optical enginePrimarily package-level interconnect
    Integration LevelBoard-levelPackage-level
    Signal IntegrityImproved over front-panel opticsHighest integration potential
    Power EfficiencyImproved compared with long electrical pathsStrong potential at very high bandwidth
    Bandwidth DensityHighVery high
    Thermal DesignBoard-level thermal managementASIC and optics require coordinated package/system cooling
    ServiceabilityBetter than integrated CPOMore difficult
    Manufacturing ComplexityHighVery high
    Typical RoleIntermediate optical integrationNext-generation high-density switching

    4. Why Optical Engines Are Moving Closer to the ASIC

    As electrical signaling rates increase, copper traces and connectors become increasingly difficult to use efficiently over longer distances.

    Higher-speed electrical channels experience greater insertion loss, reflection, crosstalk, and equalization requirements. Additional signal conditioning can increase power consumption and latency.

    Moving the optical conversion point closer to the ASIC reduces the electrical distance over which the highest-speed signals must travel.

    The overall evolution can be represented as:

    Front-Panel Pluggable → On-Board Optics → Near-Package Optics → Co-Packaged Optics

    Each step moves optical conversion closer to the switching or computing silicon.

    5. Electrical Path: CPO vs OBO

    The electrical path between the switch ASIC and optical engine is one of the most important differences between OBO and CPO.

    ArchitectureASIC-to-Optics PathPrimary Effect
    Front-Panel PluggableLong PCB and connector pathHigher electrical loss and power requirements
    OBOShort PCB pathReduced electrical loss
    CPOPackage-level pathMinimum electrical distance

    OBO provides a significant improvement compared with conventional pluggable optics, but the electrical path is still longer than a true co-packaged implementation.

    CPO minimizes the distance between electrical and optical conversion, which becomes increasingly valuable at very high lane rates.

    6. Signal Integrity and High-Speed Scaling

    Signal integrity becomes increasingly challenging as electrical lane speeds increase.

    High-speed signals are affected by PCB trace length, vias, connectors, package transitions, impedance discontinuities, and crosstalk.

    OBO shortens the electrical channel and can therefore improve signal integrity compared with front-panel optics.

    CPO minimizes the electrical channel even further by placing the optical engine in close proximity to the ASIC.

    This architecture can reduce the amount of electrical equalization required and provide a stronger path toward higher lane rates.

    7. Power Consumption and Power per Bit

    Power efficiency is a major reason for developing OBO and CPO architectures.

    When high-speed electrical signals travel across longer PCB traces, more electrical power may be required for equalization, signal recovery, and driving the channel.

    Shortening the electrical path can reduce these requirements.

    FactorOBOCPO
    Electrical PathShortVery short
    Electrical Channel LossReducedMinimized
    Equalization BurdenReducedPotentially lower
    Power per BitImproved versus longer electrical pathsStrong potential for further improvement
    High-Speed ScalingGoodStrongest integration path

    Actual power depends on the ASIC, SerDes, DSP, optical engine, laser architecture, process node, cooling solution, and overall system implementation.

    8. Bandwidth Density

    Bandwidth density describes how much network capacity can be delivered within a limited physical area.

    OBO increases bandwidth density by moving optical engines away from the front panel and closer to the ASIC.

    CPO can provide an even higher level of integration because optical engines can be distributed around the ASIC package.

    This becomes increasingly important as switch bandwidth moves toward 51.2T, 102.4T, and higher architectures.

    ArchitectureBandwidth Density Potential
    Front-Panel PluggableHigh
    OBOHigher
    NPOVery high
    CPOHighest integration potential

    9. Thermal Management: OBO vs CPO

    Thermal management is one of the most important differences between OBO and CPO.

    In OBO, the optical engine is separate from the ASIC package and can be cooled through the board-level thermal architecture.

    In CPO, the optical engines are much closer to the high-power switch ASIC. The thermal systems for the ASIC and optical components must therefore be considered together.

    This can create significant packaging and cooling challenges, especially as switch ASIC power increases.

    Thermal FactorOBOCPO
    ASIC Thermal LoadSeparate from optical engineClosely coupled
    Optical Thermal ManagementBoard-levelPackage/system-level
    Thermal IsolationRelatively easierMore difficult
    Cooling ComplexityHighVery high
    High-Power ASIC ImpactMore manageableMajor design consideration

    10. Serviceability and Replacement

    Serviceability is one of the strongest advantages of OBO compared with CPO.

    Because the optical engine remains a separate board-mounted component, OBO can provide more opportunities for replacement, inspection, or modular maintenance.

    CPO integrates optics much more deeply with the switch package. A failure in the optical subsystem may therefore require more complex service procedures and can potentially involve replacement of a larger system assembly.

    This tradeoff is important for large data center operators that need rapid field maintenance.

    11. Manufacturing Complexity

    CPO requires highly accurate integration of electronic and photonic components within a compact package.

    Optical coupling, fiber attachment, thermal expansion, package tolerances, assembly yield, testing, and laser integration all become important manufacturing considerations.

    OBO is less tightly integrated because the optical engine and ASIC remain separate components on the board.

    Manufacturing FactorOBOCPO
    Optical AlignmentHighVery high
    Package IntegrationBoard-levelPackage-level
    Assembly ComplexityHighVery high
    TestingMore modularMore integrated
    Yield ManagementComponent-level flexibilityMore sensitive to package integration yield

    12. CPO and OBO Optical Engine Architecture

    Both architectures can use an optical engine containing photonic integrated circuits, electrical integrated circuits, lasers, drivers, receivers, and other optical components.

    The major difference is how the optical engine is positioned relative to the switching ASIC.

    Component RelationshipOBOCPO
    Switch ASICPackaged separatelyIntegrated at package level
    Optical EngineMounted on PCBMounted within or directly associated with ASIC package
    PIC/EIC PositionNear the ASICExtremely close to the ASIC
    Electrical ConnectionPCB-basedPackage/substrate-based
    Fiber ConnectionBoard-level optical interfacePackage-level optical interface

    13. External Laser Sources in CPO

    CPO systems do not necessarily need to place the laser inside the same package as the switch ASIC.

    An External Laser Source can provide continuous-wave optical power to the photonic engine while the laser source remains physically separate from the hottest region of the package.

    This architecture can simplify thermal management and improve laser serviceability while retaining a short electrical connection between the ASIC and optical engine.

    External laser architectures are therefore one of the important approaches being considered for scalable CPO systems.

    14. Silicon Photonics in CPO and OBO

    Silicon photonics can be used in both OBO and CPO architectures.

    Its ability to integrate optical waveguides, modulators, photodetectors, and related photonic functions on a compact silicon platform makes it well suited to high-density optical engines.

    In OBO, silicon photonics can reduce the size and complexity of the board-mounted optical engine.

    In CPO, silicon photonics can be integrated much closer to the switch ASIC to minimize the electrical interconnect distance.

    Therefore, silicon photonics and CPO should not be treated as interchangeable terms. Silicon photonics is an optical technology, while CPO describes an integration architecture.

    15. CPO vs OBO for 800G and 1.6T

    Higher bandwidth interfaces increase the pressure on electrical channels and optical integration.

    OBO can support high-speed optical architectures by shortening the electrical path without fully integrating the optical engine with the ASIC.

    CPO takes the integration one step further and is especially relevant to future switching systems where the electrical interface between the ASIC and optical engine becomes increasingly difficult to scale.

    Bandwidth GenerationOBO RoleCPO Role
    400GPossible in specialized architecturesPossible
    800GRelevantIncreasingly important
    1.6TPotential high-density architectureStrong development focus
    3.2TMore challengingImportant scaling direction
    6.4T+Increasing integration pressureHigh integration becomes increasingly relevant

    16. CPO vs OBO for AI Data Centers

    AI data centers place unusually high demands on network bandwidth because thousands of accelerators can communicate simultaneously.

    High-radix switches need to provide enormous aggregate switching capacity while controlling power density and thermal load.

    OBO can reduce the electrical path between switch ASICs and optical engines while maintaining some level of modularity.

    CPO can further reduce electrical interconnect distance and increase optical integration, making it particularly relevant to future AI networking systems with extremely high switch bandwidth.

    17. CPO vs OBO: Key Tradeoffs

    CategoryOBOCPO
    IntegrationBoard-levelPackage-level
    Electrical DistanceShortVery short
    Power EfficiencyImprovedPotentially higher efficiency
    Signal IntegrityImprovedHighest potential
    Bandwidth DensityHighVery high
    Thermal ComplexityHighVery high
    ServiceabilityBetterMore difficult
    ManufacturingComplexHighly complex
    Component ModularityHigherLower
    Future ScalingUseful intermediate architectureStrong path toward very high bandwidth

    18. How to Choose Between CPO and OBO

    The choice depends on the switch bandwidth, electrical channel constraints, serviceability requirements, thermal architecture, manufacturing maturity, and deployment scale.

    RequirementTypical Direction
    Shorten electrical path without full package integrationOBO
    Maintain greater optical module serviceabilityOBO
    Maximum ASIC-to-optics integrationCPO
    Very high future switch bandwidthCPO
    Lower packaging integration riskOBO
    Highest bandwidth densityCPO
    Simpler field replacementOBO
    Strongest reduction of electrical interconnect lengthCPO

    OBO and CPO should therefore be viewed as points on the optical integration roadmap rather than mutually exclusive technologies.

    19. CPO vs OBO and the Future of Optical Networking

    As switch bandwidth continues to increase, the industry is moving optical conversion progressively closer to the switching silicon.

    OBO provides an intermediate architecture that reduces electrical distance while retaining more modularity than CPO.

    CPO provides deeper integration and can address electrical-channel and bandwidth-density challenges that become increasingly difficult at very high speeds.

    Current industry development is also expanding beyond CPO toward NPO, higher-speed pluggable optics, optical chiplets, external laser architectures, and other forms of optical integration.

    The future is therefore unlikely to depend on a single architecture. Different parts of an AI data center may use pluggable optics, OBO, NPO, CPO, and other optical interconnect approaches according to their bandwidth, reach, serviceability, and system requirements.

    20. Conclusion: CPO vs On-Board Optics

    OBO and CPO both address the same fundamental problem: high-speed electrical connections between switching silicon and optical interfaces are becoming increasingly difficult to scale.

    On-Board Optics: places the optical engine on the same PCB as the packaged ASIC. It shortens the electrical path, improves signal integrity and power efficiency compared with front-panel optics, and retains more modularity and serviceability.

    Co-Packaged Optics: integrates the optical engine much more closely with the ASIC at the package level. It minimizes the electrical path and provides the highest potential for bandwidth density and power-per-bit improvements, but introduces greater thermal, packaging, manufacturing, testing, and serviceability challenges.

    For current and near-term high-speed data center architectures, OBO can serve as an intermediate integration approach, while CPO is being developed for increasingly high-bandwidth switching and AI networking systems.

    The broader evolution can be summarized as:

    Pluggable Optics → OBO → NPO → CPO → More Integrated Optical I/O

    As AI clusters and data center switch capacities continue to scale, the distance between electronics and optics will become an increasingly important design parameter for future optical interconnect systems.

    21.CPO vs On-Board Optics Q&A

    Q1. What is the main difference between CPO and OBO?

    Answer: OBO places the optical engine on the same PCB as the packaged ASIC, while CPO integrates the optical engine much more closely with the ASIC at the package or package-substrate level.

    Q2. What does OBO stand for?

    Answer: OBO stands for On-Board Optics. It is also commonly described as board-mounted optics.

    Q3. What does CPO stand for?

    Answer: CPO stands for Co-Packaged Optics. It integrates optical and electronic functions much closer together within the same package architecture.

    Q4. Which has a shorter electrical path, CPO or OBO?

    Answer: CPO has the shorter electrical path because the optical engine is integrated at the package level with the ASIC. OBO still requires a short PCB connection between the ASIC package and optical engine.

    Q5. Which provides higher bandwidth density?

    Answer: CPO provides greater potential bandwidth density because the optical engines can be placed extremely close to the switching ASIC and integrated around the package.

    Q6. Which is easier to maintain, OBO or CPO?

    Answer: OBO generally provides better serviceability because the optical engine remains a separate board-mounted component. CPO integrates optics more deeply into the package, making replacement and field servicing more complex.

    Q7. Does CPO always consume less power than OBO?

    Answer: Not automatically. CPO can reduce electrical interconnect power and improve power per bit, but total system power also depends on the ASIC, DSP, optical engine, laser architecture, cooling, and implementation.

    Q8. Is silicon photonics the same as CPO?

    Answer: No. Silicon photonics is an optical technology, while CPO describes an integration architecture. Silicon photonics can be used in both OBO and CPO systems.

    Q9. Why is CPO important for AI data centers?

    Answer: AI data centers require very high aggregate switching bandwidth. CPO can reduce the electrical distance between switch ASICs and optical engines while increasing optical integration and bandwidth density.

    Q10. Is OBO still relevant if CPO is being developed?

    Answer: Yes. OBO provides a less deeply integrated architecture that can reduce electrical distance while retaining more modularity and serviceability. It can therefore serve applications where full CPO integration is not yet necessary or practical.

    For any questions, please contact us by email or WhatsApp.

    Email: sales@c-light.com

    WhatsApp: +86 132 6656 7067

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