Indium phosphide (InP) is a compound semiconductor used in high-speed optoelectronics, photonic devices, and next-generation communication systems such as LiDAR and 5G. It is produced through the reaction of high-purity indium and phosphine gas in specialized crystal growth furnaces. The wafers are then processed for use in integrated photonics, lasers, detectors, and high-frequency transistors. Indium phosphide is a high-value material with consistently strong price support. Prices are relatively stable due to limited supply and long development cycles for photonic devices. However, as demand increases, wafer prices have gradually risen, especially for higher-grade materials used in defense or telecom sectors.