Taiwan's optical lens leader Largan Precision is spending big on new land and factory space, a positive sign that it expects strong demand from a new business line.

• Largan is paying NT$3.08 billion for land and factory buildings in a Taichung industrial park to expand production.
• It is the company's fourth property purchase this year, bringing the total to about NT$5.65 billion, plus more spent on equipment.
• The buildup is aimed at co-packaged optics, a technology used in high-speed data centers, where Largan makes fiber array units.
• A pilot production line finishes this quarter, with samples going to customers and mass production expected by the middle of next year.
• Analysts like the bet because fiber array units are hard to make and most producers struggle with yields, which favors a technical specialist.

Outlook: A major customer inspects the pilot line next month, and the new line could start adding meaningful revenue by mid-2027 as phone lenses stop being the main growth driver.