AI Capex

Technology

AI Capex Technology Deep Dives

Engineer-grade primers on the six technology layers driving the AI infrastructure supercycle. Each deep dive covers the fundamentals, the supply chain, key tickers, and metrics to watch.


Manufacturing

Advanced Packaging

CoWoS · SoIC · HBM integration · 2.5D/3D stacking

The hidden bottleneck of the AI buildout. CoWoS-L capacity at TSMC determines how many B200 GPUs NVIDIA can ship. Every AI accelerator requires advanced packaging — and capacity is sold out through 2027.

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Networking

Optical Networking

800G/1.6T transceivers · coherent · silicon photonics · DCI

AI clusters demand inter-GPU bandwidth orders of magnitude beyond traditional data center networking. The shift from 400G to 800G to 1.6T is reshaping the entire optical supply chain — and creating multi-year winners.

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Chips

Custom Silicon / XPUs

TPU · Trainium · Maia · AVGO XPU · MRVL custom ASIC

Google, Amazon, Microsoft, and Meta are all building custom AI chips to reduce NVIDIA dependency and optimize cost-per-inference. The XPU wave is the biggest structural shift in semiconductor demand in 20 years.

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Memory

Memory & HBM

HBM3e · HBM4 · CXL · DDR5 · DRAM scaling

Every AI GPU needs HBM. The B200 carries 192GB at 8 TB/s — a 10× bandwidth improvement over standard DRAM. HBM supply, yield, and ASP dynamics are the most direct leverage point into the AI compute buildout.

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Power & Cooling

AI Power & Cooling

Liquid cooling · PDUs · power semis · UPS · SiC/GaN

A single GB200 NVL72 rack draws 120 kW — more than a typical suburban home. Data center power infrastructure is the least-discussed but most critical bottleneck in the AI buildout, creating a decade-long capex wave.

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Equipment

Wafer Fabrication Equipment

EUV · etch · deposition · process control · WFE supercycle

The $130B+ WFE market is the most direct exposure to the semiconductor supercycle. ASML, AMAT, Lam, and KLA collectively control the tools without which no advanced chip can be manufactured — at any price.

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Deep dives are evergreen reference documents updated as the technology evolves. For time-sensitive earnings analysis, see Capex Signal on the homepage.