Corning Meta Optical Cable Plant Strengthens AI Data Centre Supply Chain

Corning

Corning Meta optical cable plant construction has started in Hickory, North Carolina, as Corning moves to support Meta’s growing artificial intelligence data centre network. The project is expected to become the world’s largest fibre optic cable manufacturing facility.

The plant forms part of Corning’s $6bn multi-year agreement with Meta, signed in January. Under the deal, Corning will supply next-generation optical fibre, cable and connectivity products for Meta’s expanding data centre infrastructure.

Corning Meta optical cable plant development matters because AI workloads are increasing demand for high-speed, low-latency optical communication systems. As AI clusters grow larger, fibre optic connectivity becomes a critical infrastructure layer alongside chips, power, cooling and storage.

AI Data Centres Drive Optical Fibre Demand

Meta’s fibre connectivity requirements are rising as the company operates or builds 26 data centres across the US. These facilities support the rapid expansion of AI computing capacity, which requires dense and reliable optical networks.

Corning’s optical communications business is already benefiting from this demand. Net sales in the segment rose by 35% year on year in the fourth quarter, driven by stronger AI data centre demand, while total company sales increased by 14% to $4.41bn.

The Corning Meta optical cable plant therefore reflects a wider shift in digital infrastructure. Data centre growth is no longer only a semiconductor story; it is also becoming a materials, glass, cable and connectivity supply chain story.

Germanium Supply Becomes Strategic for Fibre Optic Expansion

Fibre optic cable production has direct implications for germanium demand. Germanium tetrachloride is used to increase the refractive index of the silica glass core in fibre optic cables, making it essential for high-performance optical communication.

Optical communication is the largest downstream consumer of germanium in the US. That makes AI data centre expansion increasingly relevant to minor metals markets, especially as fibre deployment accelerates.

Supply risk remains a key concern. China imposed export controls on germanium metal and other germanium products in August 2023, citing military technology concerns. China accounts for about 60-70% of global germanium output, while its exports of germanium and fabricated products fell sharply to 11,316kg in 2025 from 25,273kg in 2024.

Chinese germanium exports remained weak early this year, with January shipments down 95% on the year and February shipments also lower. This creates a strategic tension: AI infrastructure is increasing optical fibre demand, while germanium availability remains constrained by export controls.

The Metalnomist Commentary

The Corning-Meta project shows that AI infrastructure is pushing demand deeper into specialty materials supply chains. Germanium may be a small-volume metal, but its role in optical fibre makes it strategically important as data centres scale.

First Solar Module Sales Hit Record as US Manufacturing Capacity Expands

First Solar

First Solar module sales reached a record high in 2025 as the US thin-film solar manufacturer benefited from strong domestic demand and a changing tariff environment. The company shipped 17.5GW of modules, up 24pc from its previous record of 14.1GW in 2024, and slightly above its revised annual guidance.

First Solar module sales also translated into stronger revenue. Net sales rose by $1.01bn from 2024 to reach $5.2bn in 2025. Fourth-quarter sales increased to $1.7bn, reflecting continued momentum in utility-scale solar demand and the company’s strong position in the US market.

The outlook for First Solar module sales remains solid in 2026. The company expects to sell 17-18.2GW of modules this year, including 12.6-13.1GW in the US alone. However, its contracted backlog fell to 50.1GW from 68.5GW a year earlier, showing that growth remains exposed to project timing, policy uncertainty, and customer procurement decisions.

US Solar Manufacturing Becomes the Core Growth Engine

First Solar is shifting more production toward the United States as domestic manufacturing becomes a strategic advantage. The company produced 16.1GW of modules in 2025, including 10GW from US facilities, 2.8GW from India, and 3.3GW from other regions outside the US and India.

For 2026, First Solar expects total production of 16.5-17.5GW. US production is forecast to rise sharply to 13-13.3GW, while Indian output is expected at 2.6-2.8GW. Production from other regions is expected to fall to 0.9-1.4GW, showing a clear rebalancing of the company’s manufacturing footprint.

The company is also expanding its domestic capacity base. First Solar began commercial production at a new Louisiana facility this year, its fifth manufacturing site in the US. A 3.7GW plant in South Carolina is expected to begin production from the fourth quarter, further strengthening the company’s US solar supply chain position.

Tariff Uncertainty Reshapes Global Solar Production

Tariff uncertainty is becoming a major factor in solar manufacturing strategy. First Solar expects significant underutilisation at its plants in Vietnam and Malaysia because demand for output from those facilities has been constrained by trade policy uncertainty.

This shift highlights how solar supply chains are being reorganised around policy risk as much as cost. Buyers increasingly want modules that can avoid tariff exposure, qualify for domestic incentives, and support long-term project certainty. That gives First Solar an advantage because its US manufacturing base aligns with domestic energy security and industrial policy goals.

Still, the company’s 2026 sales target of $4.9bn-5.2bn suggests revenue may not grow sharply despite higher expected module volumes. This reflects the complex balance between pricing, product mix, policy incentives, and manufacturing utilisation across different regions.

The Metalnomist Commentary

First Solar’s 2025 record shows that solar manufacturing is becoming a policy-driven industrial sector, not only a renewable energy market. The company’s US capacity expansion gives it a strong position, but tariff uncertainty will continue to reshape where modules are made and sold.

Singapore opens GaN semiconductor facility to strengthen global supply

GaN Chip

Singapore has launched the National Semiconductor Translation and Innovation Centre for Gallium Nitride (NSTIC GaN), marking a major step in the nation’s advanced chip manufacturing ambitions. The new GaN semiconductor facility will begin commercial operations in mid-2026 and position Singapore among a handful of global hubs capable of producing GaN on SiC wafers. This Singapore GaN semiconductor facility is expected to support both domestic and international demand for high-efficiency power electronics and communication devices.

Singapore GaN semiconductor facility boosts manufacturing capacity

NSTIC (GaN) will feature production lines for 6- and 8-inch GaN on SiC wafers, offering flexibility for diverse applications. According to Minister Tan See Leng, the facility aims to support companies from start-ups to multinationals with production-grade capabilities. GaN semiconductors can operate at higher voltages, switch faster, and reduce heat, making them vital for telecoms, EV chargers, and aerospace systems. Demand for GaN chips is rising sharply, with the global RF GaN market projected to more than double to $2.7bn by 2028.

Global collaboration and market impact

The Singapore GaN semiconductor facility is a collaboration between A*Star, DSO National Laboratories, and Nanyang Technological University, backed by $123mn in funding. Partnerships include WaferLead, a SiC substrate start-up, which will leverage NSTIC GaN to enhance wafer quality and expand its global market presence. Once fully operational, the facility will offer foundry services to overcome capital barriers and accelerate new product launches. This initiative complements Singapore’s broader semiconductor push, including NSTIC (Photonics) and a $500mn advanced packaging facility announced earlier this year.

The Metalnomist Commentary

The Singapore GaN semiconductor facility reflects the strategic shift toward localized, resilient semiconductor ecosystems. By investing in GaN technology, Singapore not only reduces reliance on foreign supply chains but also positions itself as a critical hub in the global race for next-generation power electronics. The move underscores the increasing geopolitical and industrial weight of semiconductors in clean energy, EVs, and defense applications.

Tower Semiconductor Expands SiPho and SiGe Capacity to Meet AI Data Center Demand

Tower Semiconductor

Tower Semiconductor accelerates silicon photonics (SiPho) and silicon germanium (SiGe) capacity expansion following record first-quarter revenue from these advanced semiconductor technologies. The Israel-based foundry invests $350 million to repurpose fabrication facilities across Israel, Texas, and Japan to meet surging demand. Tower Semiconductor SiPho and SiGe production ramp directly supports AI data center infrastructure expansion and next-generation optical communications systems requiring specialized semiconductor materials.

Fabrication Facility Utilization Rises Across Global Manufacturing Network

Tower Semiconductor operates multiple fabrication facilities at varying utilization rates to optimize SiPho and SiGe production capacity across its global network. Fab 2 currently runs at 55% utilization while building SiGe capacity, with available space awaiting customer qualification processes. Meanwhile, Fab 3 operates at 80% capacity, Fab 5 reaches 65% utilization driven by high-voltage power management demand, and Fab 7 exceeds its 85% model at full capacity.

The company's Fab 9 facility operates at 70% utilization as SiPho and SiGe expansion continues across the production line. Tower relocated 300mm wafer production for mobile handsets to its shared facility in Agrate, Italy with STMicroelectronics. As a result, this strategic move frees additional capacity at Fab 7 in Japan for new SiGe and SiPho 300mm products targeting data center applications.

AI Infrastructure Drives Silicon Photonics Technology Adoption

Silicon photonics technology increasingly displaces conventional indium phosphide (InP) based electro-absorption modulated lasers in high-speed data communications applications. SiPho solutions now serve 800 gigabit per second speeds and are ramping to 1.6 terabits per second for AI data center requirements. However, some optical component manufacturers develop hybrid SiPho technologies integrating InP materials for enhanced performance capabilities.

Tower Semiconductor collaborates with Chinese data center optics manufacturer Innolight Technology and US-based OpenLight Photonics on advanced SiPho development projects. OpenLight processes InP materials directly on SiPho wafers using Tower's PH18DA platform, reducing costs and time for laser integration. Therefore, these partnerships accelerate Tower Semiconductor SiPho technology advancement while expanding customer applications across global markets.

Radio frequency infrastructure business growth stems from data center and AI expansions requiring SiPho and SiGe technologies for optical fiber communications. SiGe demand increases strongly through continued adoption for transimpedance amplifiers and drivers in optical modules. Consequently, Tower expects significant long-term SiGe adoption in satellite terrestrial receivers and low-noise amplifiers for advanced handset applications.

The Metalnomist Commentary

Tower Semiconductor's strategic capacity expansion for SiPho and SiGe technologies positions the company at the intersection of AI infrastructure growth and advanced semiconductor materials demand. The shift toward silicon-based photonics solutions reduces reliance on traditional III-V materials like indium phosphide while creating new opportunities for specialized semiconductor manufacturing capabilities that support next-generation data center and telecommunications infrastructure requirements.

Electricity Drives Global Energy Demand Surge in 2024, Says IEA

IEA

Electricity led global energy growth in 2024

Electricity was the main driver of global energy demand growth in 2024, according to the IEA's Global Energy Review. Total energy demand increased by 2.2%, well above the 10-year average of 1.3% from 2013 to 2023. Electricity consumption alone rose 4.3%, boosted by extreme heat, data centers, transport electrification, and industrial use. As a result, the energy sector faced unprecedented pressure to balance supply, climate needs, and economic expansion.

The IEA noted that renewables and nuclear met 80% of the new electricity demand, while gas generation also rose steadily. In fact, 700GW of new renewable capacity was installed in 2024 — a record high. Together, renewable and nuclear power provided 40% of global electricity generation last year.

Coal, gas, and oil trends reflect shifting energy priorities

Global gas demand rose 2.7%, largely due to surging use in Asia, with China and India growing by over 7% and 10%, respectively. However, global oil demand growth slowed to just 0.8%, down from 1.9% in 2023, falling below 30% of total energy use. Electric vehicle adoption offset much of the oil demand for road transport, despite increases in aviation and petrochemical consumption. Meanwhile, coal demand growth dropped to 1.1% in 2024, half of 2023’s rate.

According to the IEA, extreme weather played a major role in global energy demand shifts.

Heatwaves in China and India accounted for more than 90% of the annual increase in coal consumption. Still, the global rise in energy-related CO₂ emissions slowed to 0.8% from 1.2% the year before.

The Metalnomist Commentary

The IEA’s 2024 review reveals the new normal: weather volatility and digitalization now shape energy flows more than economic cycles. Electricity’s dominance signals a long-term rebalancing of global power systems. For metal markets, this means sustained demand for grid, EV, and renewable infrastructure materials. As clean tech adoption accelerates, the metals supply chain becomes not only strategic—but indispensable.

Apple Boosts Global Product Sales Despite Weak China iPhone Demand

Apple China

Metal Demand Poised to Remain Strong as Apple Sales Climb

Apple Inc. has increased its overall product sales in the first fiscal quarter, despite facing headwinds in China’s smartphone market. The boost in global performance highlights ongoing strong demand for critical tech hardware and suggests sustained demand for key industrial and minor metals.

Apple Rises on Strong Holiday Demand, iPhone 16 Series Success

Apple reported nearly $98 billion in net product sales from October to December, up from $70 billion in the previous quarter. Although iPhone sales to China fell due to intensifying competition from Huawei, Vivo, and Xiaomi, total iPhone sales still rose to $69.1 billion, driven by the global launch of the iPhone 16 series and strong holiday shopping.

Apple's iPhone 16 saw increased uptake where Apple Intelligence was available, boosting performance outside China. However, Apple Intelligence has not launched in China, impacting its market share there. Despite the regional setback, overall iPhone sales declined less than 1% compared to the same quarter in 2023.

Mac and iPad Sales Grow, Metal Demand Remains Steady

Apple also saw growth in its computer and tablet lines, with Mac sales rising 13% to nearly $9 billion and iPad sales increasing to $8.1 billion. However, wearables and home accessories dropped slightly, totaling $11.5 billion compared to $12 billion the year before.

Given Apple’s reliance on critical raw materials—including cobalt, lithium, rare earths, and base metals such as aluminum, copper, and zinc—this sustained sales momentum is likely to support steady demand across global metal supply chains. As Apple ramps up innovation and new product rollouts, metal producers will closely monitor its trajectory.