Veeco Instruments' stock surged 14.68% during night session trading, marking a significant upward movement for the semiconductor equipment manufacturer.

The sharp rise follows the company's announcement that it received equipment orders totaling more than $250 million from multiple customers. These orders are for its Spector Ion Beam Deposition, Lumina Metal Organic Chemical Vapor Deposition, and WaferEtch Wet Processing systems, which support the manufacturing of indium phosphide lasers used in silicon photonics applications.

The substantial order backlog, with deliveries beginning in 2026 and significantly accelerating in 2027, is driven by growing demand for 800G and 1.6T optical transceivers in hyperscale data centers. This demand is fueled by the expansion of AI infrastructure and the industry shift from copper to optical interconnects, positioning Veeco to benefit from this rapidly growing market.