Shanghai, China-based Cambridge Industries Group (CIG), a global leader in broadband technologies and high-speed optical transceivers, is expanding its long-standing collaboration with Germany’s ML&S Group by launching a new joint venture  headquartered in Dallas and co-located with CIG’s Texas operations.

Combining the specialized capabilities of three key entities: CIG, ML&S Mexico, and ML&S Switzerland, the joint venture aims to accelerate global production of high-speed optical modules and near-packaged optics (NPO) solutions. 

“CIG and ML&S have built a foundation of trust and success over the past 20 years, beginning with our collaboration with ML&S Germany,” Gerald Wong, Chairman and CEO of CIG, said in a statement. “As the AI era drives data center fabrics toward 1.6T and beyond, this JV ensures we deliver the scale and technical sophistication our customers require, exactly where they need it.”

With a $56 million initial investment, including direct capital investment in equipment, the venture is designed to expand high-volume manufacturing capacity in Mexico to support hyperscale data center operators and AI infrastructure providers in North America and beyond, the companies said. These deployments will include next-generation 800G/1.6T and NPO optical interconnects to support large-scale AI clusters.

CIG said that a number of its top customers have expressed interest in participating in follow-on investments, reinforcing strong industry backing for the geographically diversified manufacturing model.

Joachim Kraemer, president of the board of the ML&S Group and Bernd Odoj, CEO of ML&S Germany, said in a joint statement that they are “proud to advance our relationship with CIG. This JV allows us to leverage our recent global consolidation to deliver reliable, high-performance solutions that support the rapid expansion of AI-driven data infrastructure.”

Syncing product design, innovation, and manufacturing expertise

The joint venture creates “an innovation-to-scale pipeline,” the companies said.

CIG leverages its expertise in product design and innovation, together with decades of high-volume manufacturing. CIG brings proven operational capabilities from its global manufacturing operations and strategic partner facilities, including its home base in Shanghai, China; and in Penang, Malaysia; Westford, Massachusetts; Greifswald, Germany; and Białe Błota, Poland.

ML&S Switzerland brings significant innovation prowess to the venture. Drawing on its extensive experience in high-precision micro-assembly and engineering, the Swiss team will collaborate with CIG’s Manufacturing Technologies division. Their focus will include advanced photonics packaging technologies, Near-Packaged Optics (NPO), and backend processes for Silicon Photonics (SiPh) PICs and CW lasers.

“Our Swiss facility serves as the technical engine for this venture. By combining world-class engineering and micro-assembly innovation with CIG’s high-speed transceiver expertise, we are creating a formidable manufacturing platform,” said Cem Celebi, CEO of ML&S Switzerland.

Supported by the Swiss engineering hub and CIG’s global manufacturing experts, ML&S Mexico’s facility will rapidly scale these advanced technologies into high-volume production. The near-shore presence gives North American customers reduced latency in supply chains and improved operational responsiveness, the companies said.

“Mexico represents a vital pillar for North American infrastructure,” said Juan Mollinedo, CEO of ML&S Mexico. “By combining competitive cost structures with close proximity to our primary markets, we are positioning this JV as a premier hub for the next generation of optical connectivity.”

Building on its initial investment in Mexico, the joint venture is poised to continue to grow manufacturing capacity across North America and support the rapidly growing AI-driven demand for high-speed optical modules, CIG said.

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