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What Is CPO in Optical Networking?

By C-LIGHT Marketing 丨 Jun 17, 2026
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    Co-packaged optics (CPO) is an optical networking architecture that places optical engines close to a switch ASIC within a tightly integrated package. Instead of carrying high-speed electrical signals across the circuit board to front-panel optical transceivers, CPO shortens the electrical path before converting the signals into light.

    This design targets the increasing bandwidth and power demands of AI data centers, cloud infrastructure, and high-capacity Ethernet networks. By bringing optics closer to the switching silicon, CPO can reduce electrical interconnect power and increase bandwidth density.

    1. How CPO Works

    In a conventional switch, electrical signals travel from the switch ASIC through circuit-board traces and connectors to pluggable optical transceivers. CPO places optical engines alongside the ASIC, reducing the distance those electrical signals must travel.

    • Switch ASIC: Processes and forwards network traffic.

    • Optical engine: Converts electrical signals into optical signals and converts received light back into electrical signals.

    • Laser source: Supplies the light used for optical transmission. Depending on the design, lasers may be integrated or located externally.

    • Fiber connections: Carry optical signals between the switch and connected network devices.

    The optical engines use lasers or modulators to transmit data through fiber and photodetectors to receive it. Silicon photonics can integrate optical functions into compact photonic circuits, supporting high-density optical I/O.

    2. CPO vs Traditional Pluggable Optics

    FeaturePluggable OpticsCPO
    Optical engine locationInside a removable front-panel moduleClose to the switch ASIC
    Electrical pathExtends through board traces and module interfacesShorter connection between ASIC and optics
    Power efficiencyDepends on module DSP, electrical channel, and designCan reduce electrical interconnect power
    Bandwidth densityLimited partly by front-panel space and electrical interfacesSupports dense optical I/O near the switching silicon
    MaintenanceIndividual transceivers are generally replaceableOptical engine servicing is more closely tied to the switch platform
    Thermal designModule cooling and chassis airflowCoordinated cooling for ASICs and nearby optical engines

    Pluggable optics remain valuable for flexible deployment and straightforward module replacement. CPO is designed for systems where higher bandwidth density and lower interconnect power justify a more integrated architecture.

    3. Why CPO Matters for AI Data Centers

    AI clusters connect large numbers of GPUs through high-capacity switch fabrics. As port speeds increase toward 800G and 1.6T-class networking, electrical signal loss and interconnect power become more challenging to manage.

    • Lower interconnect power: Shorter electrical paths can reduce energy spent on signal transmission and compensation.

    • Higher bandwidth density: Optical engines can provide more aggregate I/O capacity around switching silicon.

    • Improved signal integrity: Shorter electrical channels reduce the impact of PCB and connector losses.

    • Scalable network design: Dense optical connectivity supports high-capacity links between AI servers and switches.

    The actual power savings depend on the system architecture, optical engine, laser configuration, and cooling requirements. CPO improves the ASIC-to-optics connection but does not eliminate the power consumed by lasers, optical components, or supporting electronics.

    4. CPO, NPO, and LPO

    TechnologyDesign ApproachMain Consideration
    CPOIntegrates optical engines close to the ASIC within a common package architectureHigh integration and bandwidth density, with more complex servicing
    NPOPlaces optical engines near the ASIC but outside the same packageShorter electrical paths with a different integration and maintenance model
    LPOUses linear pluggable optics with reduced or no module DSPLower module power potential, with tighter host signal-integrity requirements
    Traditional pluggable opticsUses removable transceivers at the switch front panelFlexible deployment and individual module replacement

    These architectures address different design priorities. CPO emphasizes close integration, while NPO retains more separation between the optical engine and ASIC. LPO focuses on simplifying signal processing within a pluggable module.

    5. CPO Deployment Challenges

    CPO introduces additional requirements for packaging, manufacturing, thermal management, and maintenance.

    • Cooling: Optical engines must operate within their temperature limits near high-power switch ASICs.

    • Serviceability: Replacing an integrated optical engine is generally more complex than swapping a pluggable transceiver.

    • Fiber attachment: Optical connections require accurate alignment and reliable packaging.

    • Reliability and testing: The ASIC, optical engines, laser sources, and fiber interfaces must be qualified as a complete system.

    External laser sources can provide additional flexibility for certain CPO designs, including laser replacement without servicing the entire switch package. The suitable approach depends on the platform's reliability, thermal, and maintenance requirements.

    6. Conclusion

    CPO brings optical engines close to switch ASICs, shortening electrical interconnects and helping reduce power consumption while increasing bandwidth density. These characteristics make it an important architecture for high-capacity AI data centers and future optical networking systems.

    Its adoption depends on the required bandwidth, thermal design, manufacturing maturity, and maintenance strategy. Pluggable optics remain suitable for many deployments, while CPO offers advantages where tight integration and efficient high-density optical I/O are priorities.

    7. Q&A

    Q1. What does CPO stand for?

    Answer: CPO stands for co-packaged optics, an architecture that integrates optical engines close to a switch ASIC.

    Q2. How does CPO reduce power consumption?

    Answer: Shorter electrical paths reduce channel loss and can lower the power required for signal conditioning between the ASIC and optical engine.

    Q3. Does CPO replace optical transceivers?

    Answer: CPO changes how optical engines are integrated into the system. It performs similar optical transmit and receive functions but does not use the same front-panel pluggable arrangement.

    Q4. Why is CPO useful for AI networking?

    Answer: It can reduce interconnect power and increase optical bandwidth density, supporting high-capacity switch fabrics used by large AI clusters.

    Q5. What are the main challenges of CPO?

    Answer: Key challenges include thermal management, optical packaging, fiber attachment, reliability testing, and maintenance of integrated optical components.

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

    Email: sales@c-light.com

    WhatsApp: +86 132 6656 7067

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