Lumen secures deals worth $5 bln on AI driven demand for connectivity
Aug 5 (Reuters) -Telecommunications firm Lumen Technologies LUMN.N has secured new deals worth $5 billion from cloud and tech companies for its networking and cyber-security solutionsas more businesses rush to adapt AI driven technologies.
Dealsinclude one with tech giantMicrosoft MSFT.O, which announced last month thatit will use Lumen's network equipment to expand its capacity for AI workloads.
Lumen, which provides secure digital connections for data centers, said on Monday that it is involved inactive discussions with customers to secure sales opportunities worth an additional $7 billion.
The surge in AI adoption has led enterprises across multiple sectors to invest heavily in building infrastructure capable of supporting AI-powered applications.
Lumen said that major corporations are rushing to secure high-capacity fiber, a resource that is becoming increasingly valuable and potentially scarce, due to growing AI requirements.
"Our partners are turning to us because of our AI-ready infrastructure and expansive network. This is just the beginning of a significant opportunity for Lumen, one that will lead to one of the largest expansions of the internet ever," Lumen CEO Kate Johnson said.
Separately, Lumen said it has established new division, Custom Networks, to oversee its Private Connectivity Fabric solutions portfolio and meet increasing demand from various organizations.
Reporting by Harshita Mary Varghese in Bengaluru; Editing by Tasim Zahid
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
