Corning's race to market will be on good 'tyres'

Pass the grappa! Corning has inked a deal with Italian tire manufacturer Pirelli to buy its stake in its optical components and devices business for approximately $3.6 billion.

Pirelli's optics business manufactures components, including pump lasers, specialty fibers and fiber gratings used in optical networks.

Corning hopes the added tread of the acquisition will let the company leave its competitors in the optical layer transmission segment in the dust.

As for Pirelli, Marco Tronchetta Provera, chairman and CEO, said that the transaction would go the distance in implementing its core business strategies, which include "telecommunications and energy transmission and tyres."