The company, which employs around 20,000 individuals in the UK, claimed the new invention will offer a way to move large amounts of information between processors in computer servers at higher speeds.
Experts behind the technology said that using light as an alternative to the flow of electrons? has two main advantages, such as the ability to be sent longer distances between different parts of a server centre.
In addition, transfer speeds are faster as light can carry more information at once through cables.
IBM claimed it has made it possible for the process to take place on a computer chip that integrates optical components side-by-side with electrical circuits on the same piece of silicon.
Speaking to BBC News, Dr Solomon Assefa – a nanophotonics scientist at IBM – said: “When you do an internet search your data goes into a data centre and the information wanted might not be on just one chip or even one rack of chips.”