Exponential Edge - #53
IMPORTANT UPDATE - Sunsetting Distilled
UPDATE - Sunsetting Distilled:
Hey all,
We’ve got some bittersweet news.
Exponential Distilled is officially being sunset. All subscriptions will be paused indefinitely as of March 22.
Exponential Edge #53 will be the final post published on this Substack.
It’s been a wild ride — from altcoins in 2023 to AI equities in 2026.
This wasn’t an easy decision, but it ultimately came down to personal reasons and a growing misalignment between our interests and where the market has evolved.
We’re proud of what we built. The mock portfolio finished up 33% since inception in July 2025, outperforming both BTC and the QQQ.
Thank you to everyone who read, subscribed, and supported the brand. We are deeply grateful for your trust and attention.
(The watchlist begins as normal below)…
Exponential Edge - #53
AI capex is running into a networking bottleneck.
Copper is the constraint; optics is the upgrade. TSEM sits at the center of that shift, with SiPho capacity tightening into 2028.
We break down the tickers best positioned for the optical interconnect trade.
Key Report Insights:
Optics Inflection: AI networks hit copper limits → SiPho adoption accelerates
TSEM Rerating: SiPho revenue +100% YoY; fastest-growing segment
Capacity Lock-In: ~$920M CapEx; ~70% booked through 2028
Process Control Tailwind: Defect complexity drives tooling demand surge
Software Dispersion: IGV -22% YTD; AI-native outlier +16%