Jakarta, INTI - Meta Platforms Inc. is reportedly preparing to expand into the cloud infrastructure business by offering access to computing capacity and artificial intelligence (AI) models. This is a move that could potentially increase its competition with major players like Amazon Web Services (AWS), Microsoft Azure, and Google Cloud.
Meta is reportedly developing a business model that would allow the company to generate revenue from excess computing capacity by renting it to external customers. This information was provided by sources who requested anonymity as the plans were not official yet.
One plan being considered is providing access to various AI models running on Meta's infrastructure, similar to AWS's Bedrock service. Meta will operate the data centers and AI chips that power these models, including the Muse Spark model, and then charge developers for their use.
Meta’s Goal in AI Infrastructure
The development of this new business line is part of Meta Compute, an internal initiative to build and manage the company's AI infrastructure efforts. Meta has not yet issued an official statement.
This new business development aligns with Meta's focus on building AI with highly advanced capabilities. To support this ambition, the company has allocated hundreds of billions of dollars in investments to build data centers and other AI infrastructure.
This significant spending has raised investor concerns about the potential return on investment. In recent times, Meta has also entered into several large-scale computing agreements with CoreWeave, Google, Oracle, and other partners.
Entering the cloud business is seen as one way for Meta to monetize these investments. Over the years, AWS, Microsoft Azure, and Google Cloud have built businesses leasing computing, data storage, and cloud-based software that now generate tens of billions of dollars in quarterly revenue.
Meanwhile, demand for computing capacity for AI development continues to grow. Along with other major technology companies, Meta has invested heavily to expand its data center capacity to meet internal needs and support the rapid development of AI technology.
This trend has also prompted cloud service providers to expand their offerings, including leasing specialized AI chips and the computing capacity needed to train and run AI models. This business is considered highly complex, requiring significant investments in data centers, software platforms, enterprise sales networks, and customer support services.
Conclusion
Meta Platforms is reportedly preparing a cloud infrastructure business by offering access to computing capacity and AI models. The company is said to monetize excess computing capacity by leasing AI models hosted on its infrastructure and is considering selling access to raw compute capacity. This move is part of Meta Compute's internal initiative that supports the company's ambition to develop AI superintelligence through significant investments in data centers and AI infrastructure. However, the plan is still in the development stage and Meta has not yet made an official comment on the strategy.
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