0408 GMT - Optics is emerging as an increasingly important part of AI infrastructure, says Charu Chanana, Saxo Markets chief investment strategist. As AI clusters grow, more data needs to move quickly and efficiently between GPUs, servers, racks and data centers, she says in a research note. Optical interconnects transmit data using light and can provide the high bandwidth and energy efficiency increasingly required as AI networks scale, she says. Major industry players include China's Zhongji Innolight and Eoptolink Technology and the U.S.'s Lumentum and Coherent. Chanana notes that U.S.-China geopolitical tensions could reshape the competitive landscape, potentially shifting demand toward non-Chinese suppliers such as Lumentum and Coherent.