Analysts Say Buy Amazon Stock after Corning Deal

Amazon is growing their Web Services division through a partnership with Corning to provide fiber optic products for the future.

Written by: Timothy St. John • Tuesday, June 9, 2026 • 2 min read

• Last updated: Tuesday, June 9, 2026

Amazon partnered with Corning to expand its fiber optic network.

Quick overview

Corning and Amazon have signed a multibillion-dollar partnership to supply fiber optic products for Amazon Web Services.
The deal aims to enhance Amazon's AI infrastructure and cloud services while supporting domestic supply growth.
Amazon's capital expenditures are projected to reach $140 billion by 2026, raising concerns among investors about potential impacts on stock value.
Despite a 4% increase in Corning's stock, Amazon's stock fell 1.50% following the announcement of the partnership.

Corning (GLW) and Amazon (AMZN) just signed a multibillion dollar deal for a partnership that will have Amazon Web Services supplied with fiber optic products for years.

Amazon stock may be in trouble if their capex spending remains very high.

Amazon is expanding its AI infrastructure and cloud services through a deal they made with Corning. Their agreement is a long term one that includes training programs and domestic supply growth.

AI data centers have been a big area of interest for Amazon, and the company will use the partnership to grow its data center infrastructure throughout the United States. Corning stock jumped 4% after the deal was announced, but Amazon stock remained down 1.50% from the previous day.

Amazon AI and Amazon Web Expected to Grow Rapidly

There are massive plans at Amazon to grow the Web services and AI infrastructure that have been such huge earners for the company lately. In the last quarterly report for the company, Amazon Web Services revenue reached more than $37 billion, which beat analyst expectations.

That arm of the company needs data centers and a lengthy fiber optic network. The company already has twenty million miles of fiber optic cables set up to transfer data from its servers. It makes sense for them to jump into a partnership with a company that can meet their immediate supply needs and help them cut costs for the future as well.

Where Amazon has to be careful when it comes to their stock value, though, is in their capital expenditures. They are planning far ahead with their data center rollout and Web Services expansion, estimating around $140 billion in capex spending for 2026. That is about twice what they spent in 2025 on capital expenditures, and these numbers have not just cut into their profits but have also scared off investors.

The move to work with Corning shows how dedicated Amazon is to reaching customers through reliable cloud and services, and a huge data center infrastructure and fiber optic network make this possible. Their focus on this side of their business may pay off in the future, about even with massive revenue from these arms of their business, their expenses are extremely high and may hold back stock growth for now.

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ABOUT THE AUTHOR See More

Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.