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JX Metals to triple indium phosphide substrate production with 200 billion yen investment
Friday, February 13, 2026 at 08:06 PM
JX Metals is investing 200 billion yen to triple its production capacity for indium phosphide (InP) substrates, which are critical components for high-speed optical communications and advanced semiconductor applications.
Context
JX Advanced Metals is investing 20 billion yen to triple its production capacity for indium phosphide (InP) substrates by FY2028. The expansion, primarily focused on its Isohara Works in Japan, is a direct response to the soaring demand for high-speed optical communications within AI data centers. InP is a critical material for the lasers and receivers used in 800G and 1.6T optical transceivers, offering superior speed and energy efficiency compared to traditional silicon-based solutions.
This aggressive capacity hike solidifies the company’s position as a dominant global supplier in the specialized semiconductor materials market. By securing the supply chain for "photonics-electronics convergence" technologies, JX Advanced Metals is positioning itself for the next phase of generative AI infrastructure growth. For investors, this move highlights a strategic pivot toward high-margin advanced materials as the company moves toward a planned independent market listing following its spin-off from the ENEOS Group.
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