Meta Secures $6 Billion Fiber Optic Supply Deal with Corning for AI Data Center Expansion

Meta Inks $6 Billion Fiber Pact with Corning to Fuel AI Ambitions

January 27, 2026

In a major move to secure the critical infrastructure for its artificial intelligence ambitions, Meta Platforms has entered into a multi-year, $6 billion supply agreement with Corning Incorporated. The deal, which runs through 2030, is designed to lock in the optical fiber, cable, and connectivity solutions needed to power Meta's massive and rapidly expanding U.S. data center fleet, directly addressing potential supply chain bottlenecks that have hampered other tech giants.

Under the agreement, Corning will significantly scale up its U.S. manufacturing capacity, with Meta serving as the anchor customer for an expanded facility in Hickory, North Carolina. The glass and ceramics specialist plans to increase its workforce in the state by up to 20%, adding scientists, engineers, and production personnel across sites in Hickory and Durham. These locations are among the world's largest for optical fiber and cable production. Corning CEO Wendell Weeks stated the partnership reflects the company's commitment to "develop, innovate, and manufacture the critical technologies that power next-generation data centers here in the US."

The fiber optics secured through this deal will be integral to Meta's planned U.S. data centers, a portfolio that includes 26 facilities currently planned or under construction. This buildout is part of Meta's broader $600 billion AI infrastructure strategy. Notable projects that will utilize Corning's technology include the 1-gigawatt "Prometheus" site in Ohio and the colossal 5-gigawatt "Hyperion" facility in Louisiana. Joel Kaplan, Meta's chief global affairs officer, emphasized that building advanced data centers "requires world-class partners and American manufacturing," adding that the collaboration will create skilled U.S. jobs and strengthen the nation's position in the global AI race.

Industry analysts view the pact as a strategic masterstroke that elevates Meta from a component buyer to a shaper of the domestic supply chain. "The partnership advances Meta from a mere consumer of components into a strategic architect of the domestic supply chain, ensuring that it is not throttled by the fiber shortages that have recently delayed competitors' expansions," said Ron Westfall, vice president and analyst at HyperFrame Research. He noted that by anchoring Corning's production, Meta gains exclusive access to next-generation optical solutions essential for its AI compute clusters.

The deal underscores the soaring demand for data center connectivity driven by the AI boom, which has been a significant revenue driver for Corning. The company's optical communications segment reported third-quarter revenue of $1.65 billion, a 33% year-over-year increase. For Corning, the assured volume from Meta provides the foundation for further manufacturing expansion and solidifies its market position. Westfall added that this "domestic-first" strategy creates a competitive moat, making it harder for rivals to challenge Corning in supplying the high-bandwidth optics required by U.S. hyperscalers.

Source: datacenterknowledge