Today, the optical communication sector is up, with the key catalyst being the rising expectations of the U.S. further restricting Chinese optical modules from entering domestic AI data centers. Morgan Stanley's latest research suggests that potential new FCC regulations are most likely to start with restrictions on next-generation 3.2T optical modules, while the U.S. Congress has recently proposed a bill targeting restrictions on Chinese-made optical transceivers. LITE COHR AAOI AXTI