Lumen Technologies is considering selling its consumer fiber business unit, according to a Reuters report.
A potential deal could be worth between $6 billion and $9 billion.
Sources told Reuters that Lumen is working with investment bankers at Goldman Sachs over a potential deal, while a joint venture could also be explored.
A sale will help the company reduce its debt, and also support Lumen's AI ambitions. Last month, Lumen struck separate AI cloud deals with Google Cloud and Amazon Web Services (AWS).
In August, Lumen said it had secured $5bn in new business, which it said was primarily due to AI sales.
As of the end of September, Lumen operated 4.1 million fiber-enabled locations.
The US fiber market has seen a number of high-profile mergers and acquisitions this year, including Verizon's $20bn acquisition of Frontier, while rival carrier T-Mobile has acquired Lumos and Metronet through separate JV's.
Another high-profile fiber deal in North America is Bell Canada's acquisition of US fiber firm Ziply Fiber for C$7 billion (US$5bn).
Last week, it was reported that Crown Castle is in talks to sell its fiber assets to TPG.
