CPO optical modules put optical and electronic parts together. This can cut power use by up to half. CPO technology lets more data fit in. Check out our webinar, Scalable Fiber Solutions for Co-Packaged Optics (CPO) Applications, in which industry experts from Corning and Broadcom explore key design considerations, fiber handling practices, and effective deployment strategies for navigating the emerging field of co-packaged optics. The increasing investment in innovative optoelectronic IC integration and co-packaged optics (CPOs) solutions highlights this potential. The optical links of the future must not only address growing bandwidth requirements but also adhere to constraints related to power consumption, cost, space. From Jensen Huang showcasing CPO switches at GTC 2025 to a wide range of vendors demonstrating optical engines integrated inside ASIC packages at OFC 2025, CPOs are everywhere. However, it's worth noting that Andy Bechtolsheim, co-founder of Arista and a long-standing visionary in data centre. Co-packaged optics (CPO) is a disruptive approach to increasing the interconnecting bandwidth density and energy efficiency by dramatically shortening the electrical link length through advanced packaging and co-optimization of electronics and photonics. According to LightCounting, sales of lasers and photonic integrated circuits for optical transceivers are expected to grow from $2. 9B by 2029, fueled largely by AI data centers. This article provides a comprehensive overview of CPO optical modules, exploring their technology, benefits, challenges, and the pivotal role they play in future data centers.