Prices for specialized AI data-center optical fiber are forecast to average more than five times their 2025 levels this year, and Corning has a supply agreement with Meta worth up to $6 billion. Its Optical Communications sales rose 32% to $2.07 billion in the second quarter, while segment net income surged 77% to $438 million. CEO Wendell Weeks said higher fiber prices are not the main driver of profitability; higher-value connectivity products are. TrendForce forecasts a global fiber shortage of 180 million fiber-kilometers this year, with capacity utilization at 92% and inventories at one month's supply, while expansion takes 18 to 24 months. Despite strong demand, Corning shares have lost roughly half their value since a June record high, though UBS, Citi and Bernstein have set price targets ranging from $140 to $220.
Summary written by Upside AI from the original article. Read the source for full details.
Original headline: Can Meta’s Fiber Partner Corning Capitalize On Rising AI Fiber Prices?
Read the original on Yahoo Finance ↗
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METAdata centersartificial intelligenceCorningoptical fiber
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Related tickers and likely impact
META
• NeutralMeta Platforms
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $1.9T |
| Close on 10/16/2026 | 709.34 |
| Change that session | -3.72% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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