Keysight Technologies (NYSE: KEYS) has completed its acquisition of VPIphotonics, expanding its photonic design automation portfolio with system-level simulation capabilities as demand for silicon photonics and optical interconnect technologies continues to grow.
The company said the acquisition closed on June 9, 2026. The move strengthens Keysight’s ability to support the design and verification of photonic systems used in data centers, AI infrastructure, and high-speed communications networks.
As optical technologies become more complex, engineering teams increasingly require tools that can model performance across multiple domains. These include device behavior, photonic integrated circuits, and complete optical links. Keysight said the addition of VPIphotonics helps address that need by enabling engineers to move from component-level design to full system simulation within a unified environment.
Prior to the acquisition, Keysight’s photonic design automation portfolio included RSoft for device-level simulation and Photonic Designer for circuit-level design and verification of photonic integrated circuits. With the addition of VPIphotonics Design Suite, the company now extends its capabilities to system-level simulation.
The combined platform is designed to help engineers analyze optical and electrical performance across an entire communication link without switching between separate software environments.
One example is VPI Optical Link in Keysight ADS, which enables simulation of a complete transceiver path from electrical to optical and back to electrical. The workflow allows engineers to evaluate overall link performance, including bit error rates, during the design phase.
According to Keysight, the integrated approach can reduce design complexity and shorten development cycles by minimizing manual data transfers between optical and electrical simulation tools.
The company also noted that the workflow connects directly with its high-speed digital design software and test equipment. This alignment allows simulation results to be compared more closely with real-world measurements, helping identify potential issues earlier in the development process.
Demand for advanced photonic technologies has been rising as data center operators and AI infrastructure providers seek faster and more efficient ways to move data. Silicon photonics and co-packaged optics are increasingly viewed as key technologies for addressing bandwidth, power, and scalability challenges in next-generation computing systems.
“We have been supporting our customers with value-adding photonic design tools for high-demand applications for decades,” said André Richter, General Manager of VPIphotonics. “Joining Keysight means we can engineer powerful, more complete workflow solutions to serve our customers better.”
Nilesh Kamdar, General Manager of Keysight EDA, said increasing photonics design complexity is driving demand for integrated development tools, particularly for applications operating at speeds above 1 THz.
