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SerDes Technology Trends and Their Impact on AI Networks

Institution
Nomura
Date
20260526
Authors
Bing Duan
Company
NVIDIA, NVIDIA CORP
Ticker
NVDA, USNVDA
Industry
Semiconductors, Copper, PCB, Information Technology Services, Semiconductors
Rating
NeutralLow confidenceThe report does not explicitly state a rating or target price.
AuthorsBing Duan

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SerDes Technology Trends and Their Impact on AI Networks

This report discusses the development trends of SerDes technology—including technical specifications, upgrade cycles, and supply chain competitive dynamics—and their impact on AI networks.

SerDes TechnologySemiconductorsArtificial IntelligenceSupply Chain Analysis
  • SerDes technology is categorized into NRZ and PAM4 standards; PAM4 requires ADC and DSP processing.
  • 112G solutions are already in mass production, 224G remains in early stages, and 448G is expected to commercialize in 3–5 years.
  • AI networks are gradually shifting from copper modules to CPO technology to shorten SerDes transmission distances.
  • The SerDes supply chain comprises three categories: system-level vendors, IP providers, and tech giants.

Report interpretation

Overview

This report examines the latest developments in SerDes technology, including technical specifications, upgrade cycles, supply chain competitive dynamics, and implications for AI networks. Experts note that SerDes applications in AI networks are progressively transitioning from copper modules to CPO technology to address physical limitations.

Core views

According to expert insights, SerDes technology is divided into two standards: NRZ for applications below 56 Gbps and PAM4 for those above 56 Gbps, which requires ADC and DSP for signal processing. Currently, 112G solutions have entered mass production, while 224G remains in its early phase, with 448G expected to achieve commercialization within 3–5 years. Due to physical constraints, AI networks are increasingly adopting CPO technology over copper modules to reduce SerDes transmission distances. In terms of the supply chain, SerDes technology providers fall into three categories: system-level vendors (e.g., Broadcom and Marvell), IP suppliers (e.g., Alphawave and Credo), and tech giants (e.g., NVIDIA and Huawei). The report also notes that Synopsys and Cadence are subject to U.S. export controls, and China continues to face challenges in design capabilities and process nodes.

Analysis framework

The report analyzes the technological evolution of SerDes, supply chain dynamics, and implications for AI networks through expert interviews. Experts provided detailed explanations of SerDes technical specifications, upgrade cycles, integration with optical communications, and emphasized physical limitations and industry trends.

Impact & implications

The report suggests that SerDes technology advancements will drive upgrades in AI networks, with CPO adoption shortening transmission distances and reducing signal loss. Meanwhile, China still faces challenges in design capabilities and process nodes for 224G SerDes products.

Zhejiang ICP No. 2022035445-5
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