Lumen Technologies (LUMN) TD Cowen 10th Annual Communications Infrastructure Summit summary

Leadership vision and transformation

• Focus on transforming from a traditional telco to a techco by enabling network consumption through modular, API-driven services.

• Emphasis on product, network, and IT simplification, targeting $1 billion in cost savings over the next few years.

• Strategic goal to reduce product codes from 12,000 to 300 and unify network and billing systems.

• Leadership is prioritizing integration, culture, and long-term digital strategy.

• Aim to appeal to both traditional networking buyers and developers building cloud applications.

AI and fiber growth strategy

• Positioned as the de facto fiber provider for new Gen AI data centers, leveraging a nationwide network and partnerships.

• Internal estimates see a $50–$60 billion market opportunity for AI-driven fiber, growing 4–5% annually.

• Strategic partnership with Corning reserves 10% of their global fiber capacity for future builds.

• Buildout timelines for new data center connectivity range from 12 to 36 months, depending on location.

• The current phase of growth is expected to last 2–4 years, with potential for further expansion.

Network as a service and competitive differentiation

• Network as a service (NaaS) platform offers true as-a-service delivery, unlike competitors who rely on managed services.

• Differentiation comes from owning the underlying network assets, enabling economic and scalable solutions.

• ExaSwitch technology enables on-demand activation of high-capacity Waves at metro locations.

• Focus on customer-centric innovation, not competitor-driven strategies.

• Partnerships with technology and go-to-market partners, including Corning, Ciena, Cisco, and cloud providers, are key to scaling.