Meta's $6B Corning deal accelerates AI data center buildout
Multi-year fiber pact signals massive AI infrastructure spending as hyperscalers accelerate buildout
Meta Platforms has struck a multi-year agreement with Corning worth up to $6 billion for fiber optic cables, marking one of the largest commitments yet in the accelerating race to build artificial intelligence infrastructure. Corning shares surged 8.1% in Tuesday trading following the announcement, which extends through 2030 and includes a significant expansion of the glassmaker's US manufacturing operations.
The partnership underscores how hyperscalers are moving beyond AI chips to secure the physical infrastructure required for generative AI workloads. Meta currently operates 26 data centers under construction or in operation across the United States, facilities that have already supported 30,000 skilled trade jobs during construction and 5,000 operational positions. The fiber optic cables will be essential for powering these advanced data centers, which form the foundation for Meta's pursuit of what the company calls "personalized superintelligence."
Corning plans to expand manufacturing at its Trivium Corporate Center in Catawba County, North Carolina, increasing employment levels in the state by 15% to 20% while sustaining a workforce of over 5,000 highly skilled workers. Joel Kaplan, Meta's Chief Global Affairs Officer, said building advanced data centers domestically "requires world-class partners and American manufacturing" as the company seeks to help the US maintain its competitive edge in the global AI race.
The deal reflects a broader explosion in data center infrastructure spending, which has surged from $9.5 billion in early 2020 to $40.4 billion in the second quarter of 2025, driven primarily by AI and cloud computing demands. Hyperscale cloud providers are projected to spend between $600 billion and $700 billion on infrastructure in 2026, representing a 36% year-over-year increase, with approximately 75%—or $450 billion—directed specifically toward AI infrastructure.
The sector's growth is reshaping investment priorities. The global data center market is expected to expand at a 14% compound annual growth rate over the next five years, with nearly 100 gigawatts of new capacity projected to come online between 2026 and 2030, effectively doubling current global capacity. However, the industry faces mounting challenges, particularly around power availability, regulatory hurdles, and delivery timelines, which have become the primary constraints rather than demand itself.
Analysts at Morgan Stanley and other institutions have been closely watching hyperscaler capital expenditure trends, noting that the "Big Five"—Amazon, Microsoft, Google, Meta, and Oracle—are each expected to exceed $100 billion in annual infrastructure spending. Corning's 175-year-old glassmaker business model has evolved from supplying iPhone screens to becoming a critical enabler of the AI infrastructure boom, particularly through its development of new types of fiber optic cables optimized for data center connectivity.
The Meta agreement comes as enterprise AI spending is projected to reach $37 billion in 2025, more than tripling from $11.5 billion in 2024, with 2026 identified as a crucial inflection point for broader enterprise adoption. This sustained investment wave has investors increasingly focused on specialized AI infrastructure providers rather than broader market plays, favoring companies with proven capabilities in delivering the complex physical and digital components required for next-generation data centers.