Meta is Opening a New Business Area Related To AI. Investors Are Elated.
Meta Platforms shares soared more than 10% on Wednesday after a report that the social media giant is preparing to launch a cloud computing business aimed at selling excess artificial intelligence computing capacity.
Bloomberg News detailed that Meta is developing a cloud business that would allow outside customers to access the company’s AI infrastructure and computing power, clarifying that the plan remains under development and could still change.
The sharp gain helped reverse part of Meta’s disappointing performance this year. Before Wednesday’s jump, the stock had fallen nearly 15% in 2026 as investors questioned whether Chief Executive Officer Mark Zuckerberg’s massive AI spending spree would generate meaningful financial returns.
The reported strategy would put Meta in direct competition with established cloud giants such as Amazon Web Services, Microsoft Azure and Google Cloud, while also challenging specialized AI infrastructure providers including CoreWeave and Nebius.
Those concerns were immediately reflected in the market. Shares of CoreWeave and Nebius fell sharply after the report.
Meta’s cloud platform could allow developers to access AI models running on the company’s infrastructure while paying for the computing power required to operate them. The company is also reportedly considering selling raw AI compute capacity, similar to the services offered by emerging “neocloud” providers.
The move could also help Meta diversify beyond its advertising business, which still generates the overwhelming majority of its revenue.
Wall Street has increasingly scrutinized the company’s capital spending as Meta aggressively expands its AI infrastructure. The company has projected between $125 billion and $145 billion in capital expenditures this year, one of the largest technology investment programs in corporate history.
Meta’s potential entry into cloud computing has not come entirely out of nowhere. During the company’s annual shareholder meeting in May, Zuckerberg acknowledged that launching a cloud business was “definitely on the table” if Meta eventually built more computing capacity than it needed internally.
He also revealed that companies had already approached Meta seeking access to its AI infrastructure and application programming interfaces, suggesting there is already demand for the company’s computing resources. A commercial cloud offering could create a new recurring revenue stream while improving returns on expensive data center assets.
