# Senate Proposes Optical Transceiver Restrictions

The text of S. 5548, a proposed bill to extend existing federal semiconductor procurement restrictions to specified optical transceivers, has been released. If enacted, it would cover products made or supplied by InnoLight, Eoptolink, their affiliates, and certain entities designated as connected to a foreign country of concern. The bill calls for rulemaking within three years and supply-chain and domestic-capacity assessments earlier; the procurement prohibition would take effect five years after enactment. It provides no direct appropriation and preserves agency procurement authority for systems that are not critical.

- Because S. 5548 is a proposal, the restrictions are not currently in effect. Agencies and contractors should distinguish the bill’s proposed requirements from existing procurement obligations.
- Federal suppliers using optical transceivers should identify whether covered manufacturers or affiliates appear in their supply chains and evaluate potential sourcing alternatives as part of procurement planning.
- The proposed rulemaking and assessments could inform future acquisition requirements and domestic supply capacity; the bill specifies a five-year post-enactment lead time before the prohibition takes effect.

**Jurisdictions:** federal
**Industries:** Information Technology
**Topics:** Digital Infrastructure, Policy
**Published:** October 04, 2026

### Government Entities
- Federal Acquisition Regulatory Council (FAR Council)
- Federal Acquisition Security Council (FASC)
- Department of Commerce (Commerce)
- Department of Defense (DoD)
- Office of Management and Budget (OMB)

### Vendors
- Zhongji Innolight Co., Ltd. (InnoLight) (Named manufacturer or supplier whose optical transceivers would be covered)
- Eoptolink Technology Inc., Ltd. (Eoptolink) (Named manufacturer or supplier whose optical transceivers would be covered)

### Sources
- [The full text of the bill has finally been released.

“To prohibit Federal procurement of certain optical transceivers, and for other purposes.”

$SIVE

https://t.co/lnT9qpvrt2 https://t.co/pMzrCqHn7l](https://x.com/Sofigoodboy/status/2106618822891618417) - twitter-fed-procurement