Summary by Futu AI
On August 5, 2024, Lumen Technologies announced the sale of $5 billion in new Private Connectivity FabricSM solutions, driven by the increasing demand for AI connectivity. The company is also negotiating potential sales worth an additional $7 billion. The majority of the revenue from these sales is expected over the next 3 to 4 years, during which Lumen will also incur significant expenditures related to these partnerships. The announcement highlighted that the actual payments may vary based on the timing of service delivery and installation. Lumen has also released additional information about the Private Connectivity Fabric in a press release and provided educational materials on its website. Furthermore, Lumen is planning a substantial expansion of its intercity network and has partnered with Corning for next-generation fiber-dense cable to support the data processing demands of AI. A new Custom Networks division has been created to manage the Private Connectivity FabricSM solutions and cater to the needs of hyperscalers and large organizations, offering customized network solutions, including dark fiber and custom fiber routes.