Exhibit 10.3


 





Promissory
Note


 


	
        1.  
        Unconditional payment on MM DD, YYYY according to this note payable at sight to

         

        Mainland China Enterprise, China Construction Bank, Taipei Branch

         

        o NTD n USD 10 million only

        2.  
        Place of payment:

        3.  
        The interest is calculated and paid according to the following Article   from the agreed note issuing date:

        (1) 
        Use the fixed interest rate and calculate and paid the interest according to  % of the annual rate

        (2) 
        Calculate the interest according to  % of the annual rate; when the benchmark interest rate of the bank is adjusted
        (according to  ), calculate the interest according to the new declared benchmark interest rate (according to  ) plus
         % annual rate from the adjustment date

        (3) 
        Calculate the interest according to  % of the annual rate; when Chunghwa Post Co., Ltd adjusts  fixed deposit
        floating interest rate, calculate the interest according to adjusted interest rate plus  % annual rate from the adjustment
        date

        (4) 
        Other agreements:

        4.  
        Protest waived for this note, and the notification obligation in Article 89 of the Negotiable Instruments Act is also waived.

        5.  
        Calculation of the penalty: If the overdue period is within six months, the interest shall increase 10% based on the original interest
        rate; if the overdue period exceeds six months, after six months overdue to the end of the pay-off date, the interest shall increase
        20% based on the original interest rate.

        Drawer: Applied Optoelectronics, Inc., Taiwan
        Branch

        Unified Business No. (or ID Number): 28410552

        Address: No.18, Gong 4th Rd., Linkou Dist.,
        New Taipei City 24452, Taiwan (R.O.C.)

        Drawer:

        Unified Business No. (or ID Number):

        Address:

        Drawer:

        Unified Business No. (or ID Number):

        Address:

        Drawer:

        April 22nd,
        105 of ROC



 


Please seal on the perforation


 


Letter of Authorization


 


The promisors hereby jointly issue the above promissory note and
deliver it to your bank. If any situation specified in the loan contract (including but not limited to the Article 13 of loss
of period benefit of Part A of the Comprehensive Credit Line Agreement and General Contract) occurs, your bank is hereby
authorized to fill in the due date, interest rate, and place of payment and is free from the notification obligation in Article
89 of the Negotiable Instruments Act according to the pay-off date and other regulations stipulated in relevant loan contract
to exercise the rights on the note.


 


 


Sincerely,


 


Mainland China Enterprise China Construction Bank, Taipei Branch


 


Promisor (drawer): Applied Optoelectronics,
INC., Taiwan Branch


 


	Promisor (drawer): Chih-Hsiang Lin	(Signature and seal):
	Promisor (drawer): 	(Signature and seal):
	Promisor (drawer): 	(Signature
and seal):


 


 


 


	Guarantee verified by	 
	Date	2016-4-22
	Place	No.
    18, Gong 4th Rd., Linkou Dist., New Taipei City






 


 


 


 


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