Ultra-Low-Latency Optics Are Reinventing Financial Trading Networks

CHANGI, Singapore - Aug. 1, 2025 - PRLog -- As high-frequency trading (HFT), AI inference, and edge computing infrastructure push toward real-time responsiveness, network architects are reevaluating one of the most overlooked layers of the stack: the optical interconnect.

Historically, optical transceivers have been optimized around bandwidth and reach. But as system-level latency becomes a profit driver and performance bottleneck, particularly in nanosecond-sensitive environments, deterministic low latency is emerging as the new design frontier.

The Trade-Off of FEC: Error Resilience vs. Latency
Most 25G/100G Ethernet optical links rely on Forward Error Correction (FEC)—such as RS-FEC—to reduce the Bit Error Rate (BER) below 1E-12. While effective in protecting against signal degradation, these schemes introduce significant latency, typically between 200–250 nanoseconds per link.

This added latency is acceptable in general-purpose data networks. However, it becomes a critical limitation in real-time systems like:

Ultra-low-latency financial trading
AI workloads sensitive to cache and interconnect delays
Closed-loop edge control systems and TSN environments
In these scenarios, every nanosecond matters—and FEC processing becomes a performance liability.

FIBERSTAMP's Zero-FEC 25G SFP28 SR: Designed for Real-Time Demands
To address this bottleneck, FIBERSTAMP has developed a FEC-free 25G SFP28 SR ultra-low-latency optical transceiver, purpose-built for environments where latency is non-negotiable.

Key Highlights:
Zero-FEC Architecture
Eliminates encoding/decoding latency entirely, removing up to 250ns from the data path.

Outstanding BER Performance
Despite FEC removal, typical BER remains below 1E‑15, with <1E-12 guaranteed under standard operating conditions.

Thermal Stability for Edge and Co-location
Passes stress testing at 70°C for 30+ minutes, ensuring reliable deployment in dense, high-power environments.

Clean Signal Integrity at 25.78 Gbps
Integrated laser driver and limiting amplifier support low jitter and strong eye openings, even without DSP processing.

Plug-and-Play Compatibility: No Network Redesign Needed
FIBERSTAMP's ultra-low-latency module is validated with mainstream switch and NIC platforms, offering full plug-and-play interoperability. This ensures fast integration without rearchitecting the entire network—an essential advantage in:
Regulated environments like finance
Edge deployments where engineering resources are limited
Any use case where latency optimization must not introduce operational complexity

Lear more:https://www.fiberstamp.com/ultra-low-latency-optics-are-r...