Tower Semiconductor shares surge 12.08% premarket after announcing collaboration with NVIDIA on 1.6T data center optical modules using silicon photonics.

Tower Semiconductor surged 12.08% in premarket trading following its announcement of a collaboration with NVIDIA to develop 1.6T data center optical modules using its advanced silicon photonics platform. The partnership, disclosed on February 5, 2026, highlights Tower’s silicon photonics technology, which doubles data rates compared to prior solutions, enabling higher bandwidth and throughput for AI infrastructure. CEO Russell Ellwanger emphasized the company’s focus on scalable, high-speed technologies for data centers, while NVIDIA’s Gilad Shainer noted the collaboration’s role in addressing AI-driven demand for next-generation networking. The partnership positions Tower as a key enabler of AI infrastructure, aligning with the growing need for high-speed optical interconnects in data centers and reinforcing its strategic role in the AI ecosystem.