I keep buying Meta. Every paycheck, every dip, every time the crowd convinces itself the AI buildout has gone too far, I add more to Meta Platforms (NASDAQ:META | META Price Prediction), and I have not slowed down at $550.25.
Meta Platforms Inc (NASDAQ:META, XETRA:FB2A, SIX:FB) shares rose nearly 10% to $619.44 after a report that the company is building a cloud business to sell its excess AI computing capacity. Bloomberg News, citing people familiar with the matter, said the move could reduce Meta's reliance on advertising and set it against the three firms that dominate cloud infrastructure.
Meta is planning a cloud infrastructure business that will sell AI computing power/model access. That's according to a report Wednesday (July 1) by Bloomberg News, which says this move would put Meta in greater competition with cloud leaders such as Amazon Web Services, Google Cloud and Microsoft Azure.
CNBC's Julia Boorstin reports on news regarding Meta.
Meta Platforms shares META surged in trading on Wednesday following a report that the company is developing a cloud infrastructure business that would sell artificial intelligence computing power and AI models to external customers. The proposed business would allow Meta to generate revenue from excess AI computing capacity, potentially creating a new source of income while expanding its presence in the fast-growing cloud infrastructure market.
Meta Platforms (NASDAQ:META | META Price Prediction) has had a rough first half of 2026, but our model sees a compelling risk-reward setup in mega-cap tech.
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Meta has spent billions of dollars developing AI and building out data centers to support it. But now, the company may be preparing to put those data centers to a more immediately profitable purpose.
The artificial intelligence race has become a contest of infrastructure as much as software.
Meta Platforms Inc's (NASDAQ:META, XETRA:FB2A, SIX:FB) plan to sell spare computing power is less a bold expansion than an admission, that the company has built so much AI capacity it now needs somewhere to put the surplus. The Facebook and Instagram owner has spent heavily on data centres and chips to chase its artificial intelligence ambitions, a spree that has repeatedly unsettled investors worried about where the returns will come from.
A frenzied push for artificial intelligence dominance comes with a different kind of cost for Meta, where massive layoffs, employee surveillance and departures have fueled reports of a heated internal climate.
Meta said attorneys general had no evidence it misled consumers about its platforms' alleged addictiveness, including in congressional testimony by Mark Zuckerberg.