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Nvidia invests $500 million in Corning warrants and backs optical component expansion for AI data centers

Nvidia invests $500 million in Corning warrants and backs optical component expansion for AI data centers

3 Key Points

  1. Nvidia purchased pre-funded warrants for 3 million Corning shares for $500 million upfront and received warrants to buy up to 15 million additional shares at $180 exercise price, with total potential investment reaching about $3.2 billion if fully exercised.

  2. Corning will build three new advanced manufacturing facilities in North Carolina and Texas to produce optical technologies (fiber-based data transmission using light rather than copper wires) for AI infrastructure, expected to increase U.S.-based optical connectivity manufacturing capacity 10x and U.S. fiber production capacity more than 50%.

  3. Corning's optical communications segment posted 36% year-over-year sales growth to $1.85 billion in first-quarter 2026, and the company projects its photonics business serving AI customers will grow into a $10 billion revenue stream by 2030 as part of a plan to reach $40 billion annualized sales run rate by end of 2030.

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