The deal echoes a multi-billion-dollar agreement that Verizon Communications signed with Corning earlier this month. AT&T has struck a $3 billion deal with Corning, under which Corning will supply fiber and cable to the mobile carrier.

AT&T Inc. has signed a multi-year agreement worth $3 billion with Corning, under which Corning will provide the fiber and cable AT&T needs to expand its network.

AT&T and Corning have reached a $3 billion partnership through which Corning will supply fiber and cable to the telecom operator for network expansion, meeting growing demand for data services.

The telecom company said the multi-year agreement with Corning will help it achieve its goal of delivering high-speed, reliable internet service to 60 million Americans by the end of 2030.

The two companies disclosed on Tuesday that households currently connected to AT&T's fiber network use an average of more than 1 terabyte of data per month, a fivefold increase from a decade ago.

As streaming, gaming, video calls, cloud services, and artificial intelligence take up a growing share of daily life, monthly household data consumption is expected to keep rising.

The two companies said fiber is the only technology capable of handling continuously growing data demand, as it can carry services such as movie streaming and AI tools at high speed and with stability.

AT&T Chief Executive John Stankey said, "Whether for homes or businesses, fiber remains irreplaceable in terms of speed, reliability, and transmission capacity." He also said the company looks forward to continuing to work with Corning as it expands its network.

This transaction is similar to the multi-billion-dollar agreement that Verizon Communications Inc. reached with Corning earlier this month. Under that agreement, the two sides plan to lay more than 80 million miles of high-density fiber in the United States over the next five years to address explosive growth in demand for consumer broadband and converged services.