Meta Plans to Rent AI Computing Power, Stock Surges 9.3% on July 1

According to reports on July 1, Meta Platforms is planning to enter the AI cloud services market by renting out computing power and AI models to external companies and developers. The company intends to offer two service models: providing API access to Meta AI models like Llama, similar to AWS Bedrock, and leasing raw GPU computing resources comparable to CoreWeave's offerings. The initiative, part of Meta's "Meta Compute" plan, aims to monetize its massive data center infrastructure and AI chip investments.

Meta's stock surged 9.3% during trading on July 1, marking its largest single-day intraday gain since April, while competitors CoreWeave dropped 14% and Nebius Group fell over 17%, reflecting market concerns about intensified competition in the AI computing rental sector.