Amazon has signed a multi-year agreement with Corning to secure optical fiber for its expanding U.S. data center network. The companies said Monday that the deal will create 1,000 jobs at Corning’s North Carolina factories.
Summary
- Amazon secured a multi-year Corning fiber deal for U.S. data centers.
- The agreement will create 1,000 jobs at Corning’s North Carolina factories.
- Corning will expand technician training as demand for AI infrastructure grows.
Corning will supply fiber optic cable and networking products used to connect servers, racks, chips, and data centers. The agreement comes as Amazon increases spending on cloud and artificial intelligence infrastructure across the United States.
Corning to add jobs in North Carolina
According to a CNBC report, the agreement will support production at Corning’s North Carolina operations over several years. Corning will also expand a training program for fiber optic technicians in the state. The companies said those workers will support manufacturing tied to data center infrastructure. Amazon Web Services CEO Matt Garman said Amazon’s investments have created more than 26,000 jobs in North Carolina.
Amazon committed last year to spend $10 billion on new data centers in North Carolina. The latest agreement adds another supply deal tied to that expansion. Corning’s fiber products help move data across equipment inside and between data centers. In a joint statement, the companies said Corning’s fiber optics are “a critical piece” of Amazon’s infrastructure.
AI demand raises Fiber orders
Demand for artificial intelligence computing has increa7sed orders for data center equipment. Corning’s optical communications business has become central to that demand because fiber supports fast network connections. The company invented optical fiber for long-distance communication in 1970. Since then, Corning has supplied millions of miles of cable to major technology and cloud companies.
The Amazon deal follows other large agreements involving Corning and major AI infrastructure customers. In May, Nvidia committed to invest up to $3.2 billion in Corning. That agreement includes three advanced manufacturing plants dedicated to Nvidia-related production. In In January, Meta said it would spend up to $6 billion to support Corning’s optical cable plant in Hickory, North Carolina.
Corning shares rise after deal
Corning shares rose 4% on Monday after the Amazon agreement became public. Amazon stock showed little change during the session. Corning’s shares have gained strongly this year as demand from hyperscale technology companies has increased. The company remains known for making display glass used in Apple’s iPhone, but optical communications is now its largest business.
Corning CEO Wendell Weeks said the Amazon agreement supports U.S. manufacturing. “This agreement with Amazon represents a significant milestone for Corning and for American manufacturing,” Weeks said. He added that the deal will help build a resilient U.S. manufacturing base. The companies did not disclose the exact financial value of the agreement.
No Comment! Be the first one.