French semiconductor manufacturer Soitec is requiring more than ten customers to sign multi-year capacity reservation agreements with cash deposits for its Photonics-SOI substrates. With an estimated 95% market share in the Photonics-SOI substrate segment, the company dictates the terms, including fixed pricing and deposits forfeited for insufficient volume commitments. Soitec projects its Photonics-SOI revenue will double from approximately $100 million in fiscal 2026 to over $200 million in fiscal 2027. About 80% of these contracts are expected to be finalized within one to two weeks. The company’s existing manufacturing facilities can handle demand until approximately 2029.
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