Key facts
- AT&T signed a multi-year deal worth over $3 billion with Corning for fiber and cable.
- The deal supports AT&T's expansion to meet surging data demand.
- AT&T aims to reach 60 million fiber locations by the end of the decade.
- AT&T has committed over $250 billion over five years to US connectivity infrastructure.
- AT&T's fiber households now use more than 1 terabyte of data monthly, five times more than in 2016.
AT&T announced on Tuesday it has entered into a multi-year agreement with Corning Inc. valued at over $3 billion to secure fiber and cable supplies. This strategic move is part of AT&T's broader effort to expand its network infrastructure and cater to the escalating demand for data services. The company aims to significantly increase its fiber footprint, targeting 60 million fiber locations by the end of the decade. This expansion is further bolstered by AT&T's recent $5.75 billion acquisition of Lumen's fiber business and a total commitment of over $250 billion over five years to enhance US connectivity. The surge in data demand is attributed to data-intensive applications such as AI workloads, cloud computing, and connected devices, which require faster and more scalable fiber networks. AT&T noted that its average fiber household now consumes over 1 terabyte of data monthly, a fivefold increase since 2016, with expectations for continued growth.