Meta Platforms ramps up AI cloud business, shares jump nearly 6%

Meta Platforms is exploring the rental of its large‑scale AI computing resources to external developers, turning excess capacity into a potential revenue stream. An internal memo reviewed by Reuters suggests the company’s AI infrastructure costs are far lower than Wall Street had projected, easing investor concerns.

The news helped Meta’s stock rise 5.75% to $667.81, extending a week‑long rally. CEO Mark Zuckerberg confirmed at the annual shareholder meeting that an AI cloud offering is "definitely on the table." The firm has also launched the Muse Spark 1.1 model, integrated its Muse Image model into advertising tools, unveiled plans for a custom AI chip called Iris with Broadcom and TSMC, and broken ground on a $13 billion AI‑focused data centre campus in Alberta, Canada.

Analysts view the move as positioning Meta as a fourth major U.S. hyperscaler alongside Amazon, Microsoft and Google, potentially reshaping the AI cloud market.