Meta to Launch Cloud Business Selling Excess AI Computing Power; Shares Jump 9%
META sits 18% above its 52-week low of $520.26 on elevated volume (2.6× avg).
Summary
Meta Platforms announced it is launching a new cloud business to sell its excess computing power to external customers, causing shares to jump 9%. This strategic move directly leverages the company's massive AI infrastructure investments, which saw its 2026 capital expenditure forecast increase to $145 billion earlier this month. Analysts suggest this new revenue stream could help offset significant capex and monetize unused capacity. The company is currently evaluating whether to offer raw computing power or access to hosted AI models.
At the time of this announcement, META was trading at $612.75 on NASDAQ in the Technology sector, with a market capitalization of approximately $1.6T. The 52-week trading range was $520.26 to $796.25. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: CNBC TV18.