[Click eStock] "Jaram Technology, Large-Scale Supply Contract Becoming Visible"

NH Investment & Securities analyzed on the 9th that a large-scale supply contract is becoming visible for Jaram Technology.

Jaram Technology is a fabless company specializing in communication semiconductors. It directly designs and develops communication semiconductor XGSPON chips and launched mass-produced products at the end of 2020. The XGSPON chip supports 1:N (point-to-multipoint connection method) communication at XG (10 gigabit) speed by utilizing PON (Passive Optical Network) technology, which splits one optical signal into multiple signals.

It can deliver a single optical signal from the core network to up to 64 base stations or terminals, reducing the cost of laying optical cables and management expenses. According to NH Investment & Securities' analysis, the XGSPON market size is expected to reach $1.33 billion by 2025.

Kang Kyung-geun, a researcher at NH Investment & Securities, stated in the report on the same day, "It has secured a competitive edge in terms of low power consumption and price competitiveness," and analyzed, "The power consumption of the XGSPON stick, which combines an optical transceiver with XGSPON based on low-power design technology, is 0.9W, overwhelmingly lower than competitors."

Researcher Kang explained, "The chip can also be supplied at less than half the price of competitors," adding, "Although using a 40nm process, it is possible to produce chips of a similar size (10mm x 10mm) to competitors (28nm) based on distributed processing design capabilities."

He also mentioned, "The number of chip samples supplied after initial customer testing is increasing," and reported, "The number of XGSPON-related customers increased from 3 in 2021 to 19 at the beginning of this year, and the number of sample chips provided also rose from 104 to over 3,000 during the same period."

He added, "This indicates that the number of customers testing in the field has increased and suggests that the full-scale mass production phase (= large-scale supply) is approaching."