IREN shares plunge as Meta eyes its own cloud business

The former Iris Energy (now IREN) stock continued its steep decline, falling 45% from its year‑high and reaching its lowest level since April 13. The slide accelerated after a Bloomberg report suggested Meta Platforms may launch a proprietary cloud‑computing service, potentially turning one of IREN’s largest customers into a competitor.

IREN faces added pressure from new entrants such as SpaceX, which recently raised over $1.25 billion from Anthropic and other AI firms, and from existing hyperscalers like Google and Amazon. The company has not secured a major hyperscale contract this year, its last significant deal being a $9.7 billion order from Microsoft. Rising GPU and memory costs further strain its finances. Short interest stands at 18%, and technical indicators (RSI below 30, breach of key support at $50.56) suggest further downside risk.

Analysts note that without new large‑scale orders, IREN may struggle to compete for AI‑related workloads, keeping the stock vulnerable to further declines toward psychological levels near $35.