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Astera Labs developing custom NVLink Fusion switches for NVIDIA hybrid rack architectures; expected revenue contribution in 2027 with 'deep engagements' for initial design wins

Jitendra Mohan· Astera Labs· AI· 2026-05-05· about Astera Labs, NVIDIA (ASTRA, NVDA)
We have several very deep engagements for an initial design win in collaboration with NVIDIA and a hyperscaler. That project is going well, and we do expect that to start contributing revenue in 2027.

Why it matters

Astera Labs is becoming embedded in NVIDIA's NVLink Fusion ecosystem, suggesting NVIDIA is outsourcing custom switch development rather than building in-house.

Investment implication

Picks-and-shovels opportunity: companies enabling protocol translation and bridging (e.g., PCIe/UALink to NVLink) will benefit from hybrid GPU/XPU deployments in 2027-2028.

Source

Astera Labs Q1 2026 Earnings Call (The Motley Fool)
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