Corning stock rises on multi-billion fiber deal with Verizon

Investing.com — Shares of Corning Incorporated (NYSE:GLW) climbed 3% on Monday following the company's announcement of a long-term, multi-billion-dollar supply agreement with Verizon Communications that runs through 2032.

As part of the pact, Corning is set to provide Verizon with more than 80 million miles of high-density optical fiber and associated connectivity products between 2027 and 2032. The arrangement is intended to bolster Verizon's efforts to grow consumer broadband access and build out infrastructure to support AI computing workloads.

The fiber rollout is designed to further Verizon's goal of reaching 40-50 million broadband passings, broadening fiber-to-the-home coverage and improving local business connectivity. The deployed infrastructure will also act as a framework for AI operations, linking data centers across significant long-haul routes.

"Locking in this level of fiber supply enables us to keep constructing the network of the future at an extraordinary scale," said Kyle Malady, CEO of Verizon Business. "We are rolling out a single, converged architecture that merges mobile and broadband into one smooth experience for millions of households and enterprises, while at the same time building the high-capacity, low-latency core that AI hyperscalers require."

This agreement extends a relationship between Verizon and Corning that spans three decades. Among the products covered are Corning Contour Flow Cable, a solution that permits more optical fiber to be installed within existing conduit pathways.

"Corning is excited to strengthen our 30-year collaboration with Verizon by introducing our most recent optical innovations in fiber, cable, and connectivity to interconnect AI data centers while also helping more Americans gain access to AI through high-speed fiber connections at home," commented Mike O'Day, Senior Vice President and General Manager of Corning Optical Communications.

The deal is structured to allow Corning to expand its U.S. manufacturing operations to satisfy Verizon's supply requirements.