Meta shares rise 8% as company plans to launch cloud business for AI computing power

Jul 1, 2026

AI Summary

Meta's stock increased by 8% following the announcement of a new cloud business aimed at selling excess AI computing capacity. This move could help the company offset its significant investments in AI infrastructure and enter a competitive market dominated by major tech firms.

Meta's shares rose 8% after news of its plans to establish a cloud business to sell excess computing power.
The company is considering whether to offer access to AI models or raw computing power to external customers.
Meta has invested heavily in AI infrastructure, planning to spend up to $145 billion on capital expenditures this year.
The new cloud business could generate revenue from unused capacity, addressing investor concerns about spending.
Meta's entry into the cloud market follows similar moves by companies like SpaceX, which has started selling excess computing capacity.
The cloud computing market is highly competitive, with major players including Amazon, Microsoft, and Google.
Meta has been working to establish its presence in the AI industry, having spent $14 billion to recruit talent and develop AI models.

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Meta shares rise 8% as company plans to launch cloud business for AI computing power

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