Meta is building a cloud infrastructure business to sell AI compute, challenging AWS. The stock rose 10% on the news as investors cheered a new revenue stream.
Meta is building a cloud infrastructure business to sell AI computing power and model access to outside customers, directly competing with Amazon Web Services, Google Cloud and Microsoft Azure.
The plan, reported Wednesday by Bloomberg, relies on surplus capacity from Meta's own AI projects. The company is already scrambling to secure infrastructure for its own artificial intelligence work. Now it wants to monetize the spare compute.
Sources told Bloomberg that two models are on the table. One would offer access to various AI models hosted on Meta's existing infrastructure, similar to what AWS does with its Bedrock service. Meta would run the data centers and chips powering the models and charge developers for access. The other model would sell raw computing capacity, the kind of business that companies like CoreWeave have built. Both fall under Meta Compute, an in-house initiative to develop and oversee the company's AI infrastructure efforts, one source said.
The move sharpens the competitive picture at a time when AI companies are cutting consumer prices while absorbing heavy usage costs. Meta already has a paid subscription tier for its consumer AI assistant, and it is considering a $199.99 premium tier for its Hatch AI agent, according to earlier reports. That would place it directly alongside Anthropic and OpenAI at the peak of the market.
Research from PYMNTS Intelligence shows that more than 60% of American consumers used dedicated AI platforms in the past year. Among Gen Z and power users, the share using dedicated AI platforms as a first stop for everyday tasks climbed 36% and 28% in a single month. That acceleration in usage is exactly what makes flat-rate consumer pricing difficult to sustain, PYMNTS wrote.
Meta stock rose more than 10% on the day to $621.28. The company carries an Alpha Score of 61 out of 100, a Moderate label that reflects its strong revenue growth but also the heavy capital spending required for the AI buildout.
The cloud business would give Meta a new revenue stream outside advertising for the first time. It would also test whether the company can compete with cloud giants that have years of enterprise relationships and compliance infrastructure. The project is still in early stages, sources said, and no timeline has been set for a public launch.
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