POET Technologies Inc. has named Sandeep Kumar as its new chief operating officer, effective May 11, as the company pushes to scale production at its Malaysian facility. The move comes at a turbulent time for the photonics firm, which is grappling with the fallout from a canceled order by Marvell Semiconductor and a recently filed securities class-action lawsuit.
Kumar, a seasoned semiconductor operations veteran, brings more than 18 years of experience from Silicon Labs in Austin, where he served as senior vice president of worldwide operations. His background includes oversight of manufacturing, supply chain, product and test engineering, and quality assurance. Prior to that, he held roles at Agere Systems, Lucent Technologies, and AT&T Bell Labs. POET CEO Suresh Venkatesan said Kumar will focus immediately on bringing proven talent into the Malaysia manufacturing team as the company prepares for high-volume production.
The COO appointment comes weeks after Marvell Semiconductor, which acquired Celestial AI, notified POET on April 23 that it was canceling all Celestial AI purchase orders, including initial production units announced in 2023. Marvell cited alleged confidentiality violations related to order and shipment details. POET has said it is shifting attention to other customers, including a separate order worth approximately $5 million.
POET specializes in optical engines, light-source technology, and modules used in AI systems and hyperscale data centers. Its Optical Interposer platform integrates electronic and photonic devices on a single chip, aiming to deliver faster, more power-efficient data connections. The cancellation of the Marvell orders comes as optical interconnects play an increasingly critical role in AI data center infrastructure. Marvell completed its acquisition of Celestial AI on February 2, with the photonic technology targeting high-bandwidth, low-latency links for large-scale AI deployments, positioning Marvell to challenge larger players like Broadcom and Nvidia.
Adding to the company's challenges, a securities lawsuit was filed on April 28 in the U.S. District Court for the District of New Jersey. The case, Jones v. POET Technologies Inc. et al., names POET, CEO Venkatesan, and CFO Thomas Mika as defendants. The proposed class action, as outlined by Rosen Law Firm, targets investors who purchased POET securities between April 1 and 8:57 a.m. ET on April 27. The suit alleges false or misleading statements and omissions regarding POET's U.S. tax status and risks related to confidentiality obligations. The allegations remain unproven, and no class has been certified. A lead-plaintiff deadline of June 29 has been set.
POET had previously announced plans to assist U.S. shareholders with a qualified electing fund (QEF) election, a tax measure aimed at mitigating potential negative consequences if the company is classified as a passive foreign investment company (PFIC). CFO Mika stated in April that the company believes it will not qualify as a PFIC for 2026, and the board is also exploring a redomicile to the U.S.
Financially, POET remains in an early stage. Its annual report shows 2025 revenue of just $1.07 million from non-recurring engineering services and product sales, with net losses of $62.96 million. As of December 31, the company held $313.4 million in cash, cash equivalents, and short-term investments, bolstered by a $150 million gross proceeds financing in January.
POET shares rose 1.4% to $13.92 in early afternoon trading on May 13, with volume exceeding 26 million shares. While the new COO appointment may help address operational and manufacturing challenges, the company still faces significant headwinds from the Marvell cancellation, the pending lawsuit, and the need to secure broader customer adoption of its products.
