Once you go from 100G to 200G, it’s still hard, but it’s very similar. So using this very similar equipment set, we can make the lasers at the higher data rate. The test equipment data rate has to go up. So that’s something we need to do. But in general, we should be able to handle that ramp challenge the same as we have at 100G. And then as things – the silicon photonics isn’t always cheaper, but in some cases, for some applications, it may be the best choice. And as we see products transitioning to silicon photonics, we feel very strong in our capability. We’ve been working on silicon photonics since 2010. We have silicon photonics shipping in production in products. Our team demonstrated publicly 200G per lane silicon photonics eyes. And one very important thing – and we have actual products in design right now with silicon photonics for the Datacom.
And one very important thing to never forget is that silicon photonics based transceiver actually requires an indium phosphide high-power laser. So even in silicon photonics, you should think silicon photonics and indium phosphide. So in silicon photonics based transceivers, we can differentiate ourselves also with our indium phosphide lasers. So we feel are in a really good position to address all the technologies at for 1.6T to 200G per lane.
Chuck Mattera: Thank you, Julie.
Christopher Rolland: And just maybe a clarification. Let’s say within the first ramp, what do you expect the mix of those three technologies to be? And then let’s say in the second year, how might that shift?
Chuck Mattera: Chris, I think we only have time for two. We’re running out of time.
Paul Silverstein: Chris, to be respectful to everybody on the call, we still have another person in the queue and we’ve got two minutes left. So we’ll take that offline.
Chuck Mattera: Thank you, Chris.
Christopher Rolland: Thanks, guys.
Operator: One moment for next question. And our last question for today will come from Richard Shannon from Craig-Hallum. Your line is open.
Richard Shannon: Hi guys. Thanks for taking my question. Hi, Chuck.
Chuck Mattera: Good morning.
Richard Shannon: I wanted to talk a little bit about margin structure here as you get to your 40% growth and above 20% EBIT margin. I really kind of want to look at the time in the past where you’ve done that, which is the first half of fiscal ’22. Looking at the margin structure by your three segments. And specifically, I’m curious whether you expect to be able to get the networking back up in kind of that 19 plus percent EBIT range to enable that or can you do it with that being not as high? And also maybe if you can suggest what kind of revenue levels required to get to that kind of margin structure, that’d be great. That’s my only question. Thanks guys.
Chuck Mattera: Thank you. Richard.
Richard Martucci: Yes, I think you were 100% right. We have achieved over a 40% margin and the revenue range of that was over $1.3 billion. So as we cross that $1.3 billion mark on the top line, this really comes down to the mix. And even though we believe we can increase the networking margin, we still need, as I mentioned to you earlier, we still need instrumentation in our industrial markets to improve.
Chuck Mattera: Richard, do you have a follow-up?
Richard Shannon: No, that’s all for me, Chuck. Thank you.
Chuck Mattera: Thank you, Richard. Okay. All right.
Operator: Thank you. And there’s no further question in the queue. I’ll turn it back over to Paul for any closing remarks.
Paul Silverstein: Thank you, Victor. I want to thank everybody for joining us on the call this morning. Just a heads-up, next week on March 14th, we will be hosting our third in our series of investor market webinars that will be on our instrumentation market. As with the other two, the goal is to help give you insight into the various aspects of our business. If you’d like to join, it will be accessible on our website. Once again, thank you all for joining us. We look forward to talking to you throughout the day.
Operator: Thank you for your participation in today’s conference. This does conclude the program. You may now disconnect. Everyone have a great day.
