Nvidia partners with Corning to expand optical connectivity manufacturing capacity tenfold, signaling shift from copper wiring to fiber optics in data centers

Nvidia granted the right to buy up to 15 million Corning shares at an exercise price of $180 per share. In exchange, the two companies will work together to expand Corning's U.S.-based optical connectivity manufacturing capacity tenfold.

Nvidia's Vera Rubin AI system weighs about 2 tons and incorporates over 1 million parts. Copper wiring inhibits data transmission at the speeds required by increasingly sophisticated AI models, so Nvidia turned to Corning's optical solutions, which enable data transfers at the speed of light.

The AI infrastructure market is forecast to grow from $75 billion in 2026 to $497.98 billion by 2034. Two hyperscale customers have entered into large, long-term agreements with Corning comparable to its $6 billion multiyear deal with Meta Platforms.