VZ · Earnings call · 2026Q3T · Full report
AI Infrastructure Partnership
VERIZON COMMUNICATIONS INC · 2026-10-26 · Importance 46 · Surprise 42 · In source text
Verizon announced a dark fiber agreement with Amazon Web Services valued at over $2 billion and said it also has a previously announced Google agreement. The company has approximately $4 billion of signed contracts across fiber connectivity and edge computing, with attractive margins and revenue expected to begin contributing in 2027. Management cited active negotiations with additional hyperscalers, neocloud providers, and large enterprise clients, and said associated 2027 capital spending would be modest and success-based. Verizon also signed a multi-year agreement with Corning for more than 80 million miles of fiber through 2032 to support broadband expansion and AI-related long-haul connectivity.
Key facts
- Verizon has signed AI infrastructure contracts totaling approximately $4 billion, with revenue from the contracts expected to begin contributing in 2027.
- Verizon said it has signed approximately $4 billion of AI Connect contracts in six months.
- Verizon signed a dark fiber agreement with Amazon Web Services valued at over $2 billion.
- Verizon's first long-term AI edge-computing contracts are expected to generate hundreds of millions of dollars in revenue over their term.
- Verizon is processing fiber orders under its Google agreement.
- Verizon says the AI Connect deals are customer-specific and no two deals are alike.
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | positive | committed | +9.9% | Verizon has signed AI infrastructure contracts totaling approximately $4 billion, with revenue from the contracts expected to begin… |
| revenue | positive | committed | — | Verizon signed a dark fiber agreement with Amazon Web Services valued at over $2 billion. |