- Amazon signs agreement with Corning to acquire fiber optic cables and network components
- The move is expected to create hundreds of construction jobs in addition to the 1,000 it creates at Corning’s North Carolina facility.
- The move comes as Amazon announces an investment of more than $20 billion in the state to create 26,000 jobs.
Amazon has announced a multi-year, multibillion-dollar deal with Corning to meet its data center needs while capitalizing on an AI-driven demand boom.
The move, which creates jobs in manufacturing and construction, also expands the Corning Fiber Optic Technician Training Program at Catawba Valley Community College, signaling increased demand for technical workers in the fiber optic industry.
Amazon has already committed to investing $10 billion in cloud infrastructure in North Carolina, investing more than $20 billion in the state in projects that it says have directly contributed to the creation of 26,000 jobs.
Amazon’s glass obsession: bandwidth is key
The agreement comes weeks after AWS (Amazon Web Services) introduced the Random Network Graph architecture, a fiber optic network design that organizes cables in a semi-random configuration to increase bandwidth and reliability between servers.
The design significantly increases demand for fiber optic cable and connectivity, while solving one of AI’s biggest challenges as data centers and models grow: reliable bandwidth.
Corning is an ideal partner for most AI data center companies looking to build infrastructure: it is one of the largest fiber optic manufacturers in the world, is a US-based company, and offers cutting-edge fiber optic technology, all in one package. The 175-year-old glass company is up 94.72% year-to-date (YTD) as investors continue to look for indirect beneficiaries of AI trading amid continued spending.
Amazon’s move is not isolated, although it marks a multibillion-dollar investment in fiber optics for Corning. Nvidia has already been here first, backing the construction of 3 new optical equipment facilities and investing up to $3.2 billion in company stock to fund what it says is a “10-fold increase” in its US-based optical connectivity manufacturing capacity.
“Amazon’s investments in North Carolina have created more than 26,000 jobs across the state. This multibillion-dollar deal with Corning continues that commitment, channeling investment into American manufacturing and creating 1,000 new jobs at its facilities near our data centers,” said Matt Garman, CEO of AWS.
“We are also partnering to train North Carolinians for highly skilled roles in fiber optics and fusion splicing. These long-term investments create long-term careers and real opportunities in the communities where we operate.”
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