capexScore 35/100Research
Coherent expanding 6-inch indium phosphide production to three facilities (Texas, Sweden, Zurich); Zurich site coming online early 2027
Jim Anderson· Coherent Corp· AI· 2026-05-06· about Coherent Corp (COHR)
“Texas was the first facility we started ramping 6-inch on; given such good yields out of the gate from Texas—which is a world-leading indium phosphide production facility—we started production in Sweden, and now we announced a third site in Zurich. We expect to see production from that third site at the beginning of calendar 2027.”
Why it matters
Coherent is committing to large-scale geographic expansion of indium phosphide production, signaling confidence in multi-year demand and willingness to invest heavily in capacity ahead of competitors.
Investment implication
Real estate, utilities, and local suppliers in Zurich and Swedish manufacturing regions may see increased demand. Indium phosphide production equipment suppliers (reactor manufacturers, deposition systems) should expect significant orders. This geographic diversification may also reduce supply chain concentration risk for Coherent's customers.