Prysmian expands US optical fiber manufacturing with over $1 billion investment to target AI data center boom

Prysmian has allocated over $1 billion to expand its optical fiber and cable manufacturing infrastructure across three US states. The capital injection aims to double domestic production capacity, responding to escalating connectivity demand driven by artificial intelligence workloads, data center expansion, and telecom network modernization initiatives.

Prysmian, a global manufacturer specializing in energy and telecommunications cable systems, is directing more than $1 billion toward expanding its manufacturing footprint in the United States. The investment encompasses facility expansions in North Carolina, Tennessee, and South Carolina, designed to double the company's domestic optical fiber and cable output capacity, including the initial glass preforming stage. The largest portion of the capital, totaling more than $1 billion, will be directed to the Claremont, North Carolina campus to scale up both fiber and optical cable operations. Additionally, $100 million is earmarked for doubling capacity at the Jackson, Tennessee plant, alongside $80 million for expanding FlexRibbon cable manufacturing in Lexington, South Carolina. Together, these capital projects are projected to generate approximately 600 production jobs across the regional sites.

The multi-site expansion underscores a strategic shift toward strengthening domestic supply chains for high-density optical fiber, which has become a vital component for cloud hyperscalers and telecommunications providers. Rising computational requirements associated with artificial intelligence frameworks are driving unprecedented demand for advanced optical connectivity both within data centers and across inter-facility networks. By establishing integrated production capabilities spanning raw glass preforms to finished high-density ribbon cables, the capital deployment mitigates global supply disruption risks and reduces dependence on imported optical components for major infrastructure projects.

From an industry perspective, the surge in domestic manufacturing capacity aligns directly with federal and regional efforts to build resilient digital infrastructure and expand broadband connectivity. The scaling of domestic preform and fiber production directly strengthens North American supply chains for data center builders, network operators, and digital enterprise systems. Furthermore, localized supply capabilities enhance execution speed for large-scale enterprise contracts, such as long-term supply agreements between cable manufacturers and digital component providers, while offering state economies significant industrial job creation and high-tech manufacturing growth.

For institutional decision-makers and technology sector investors, the allocation highlights the deepening interdependence between energy, hardware manufacturing, and telecommunications infrastructure in the AI era. As enterprise data centers require denser fiber architectures and specialized cabling to manage massive bandwidth requirements, cable manufacturers positioned with onshore, end-to-end production capacity stand to gain key market share. This operational scaling reinforces the long-term capital trajectory surrounding data center construction, positioning domestic fiber supply as an indispensable foundation for next-generation digital economy deployment.