Guangzhi Technology unit signs $601M indium phosphide supply deal with Coherent

The size of the stated value stands out for a substrate supply arrangement, and it signals that indium phosphide — a material tied to optical and high-speed applications — is being locked up on multi-year terms rather than bought spot. What tempers the signal is that this remains an intention agreement, not a signed contract, and it hinges on an export license, so the headline figure is contingent rather than committed. The open questions are whether the definitive agreement and license materialize, and whether similar long-dated substrate commitments become a pattern among photonics buyers.