Grease a 9x13 pan or line it with parchment paper.
Add the sugar, milk, and light corn syrup to a medium saucepan.
Cook over medium to medium-high heat, stirring often, until the mixture reaches soft-ball stage, or until a small amount forms a soft ball when dropped into cold water.
Remove from heat as soon as the mixture reaches soft-ball stage. Do not overcook.
Add the butter and vanilla extract. Stir until the butter melts into the hot sugar mixture.
Add the peanut butter and marshmallow cream.
Beat by hand with a wooden spoon until the fudge turns pale, thick, and fully combined, similar in color to marshmallow cream.
Quickly spread the fudge into the prepared 9x13 pan.
Let the fudge cool completely at room temperature until set.
Slice into small pieces and serve.