California-based Palomino Laboratories has secured its first commercial purchase order from a hyperscaler customer for gallium nitride (GaN) MicroLED chips, marking a significant step towards deploying optical interconnect technology in AI data centres.
The agreement includes a statement of work covering the development and delivery of specialised MicroLED devices designed to transmit data across short-distance optical connections within AI infrastructure.
The hyperscaler customer was not identified and financial terms were not disclosed.
Palomino is targeting a growing infrastructure challenge: moving increasingly large volumes of data between processors and other computing components without escalating power consumption and communication bottlenecks.
Unlike conventional MicroLEDs developed for displays, the company’s chips are engineered specifically for high-speed optical communication, requiring different performance characteristics and manufacturing processes.
Under the agreement, Palomino will refine its nanomaterials and chip architecture to improve optical output power and fibre coupling efficiency. The company says its existing technology already meets the customer’s other technical specifications.
“This first commercial PO from our hyperscaler customer is a significant corporate milestone for Palomino,” said Jeffrey Shealy, Co-Founder and CEO.
The technology draws on intellectual property that includes licensed patents from the University of California, Santa Barbara.
However, the commercial order does not establish that the chips are ready for deployment at scale.
Palomino must still demonstrate the required performance, reliability and manufacturing capacity before its MicroLED technology can become a viable component of next-generation AI computing infrastructure.
