How the Potential $10 Billion Compute Lease Deal Between Meta Platforms and Anthropic Affects Neocloud Stocks
It remains unclear how Meta, which is aggressively buying compute for its own needs, will have enough excess compute to sell at scale.
Overview
Meta Platforms (NASDAQ: META) has caused some angst for neocloud stockholders. The company allegedly plans to launch its own cloud business to lease access to AI computing power and AI models, and given the scale of the data centers it's constructing, it could become a serious competitor in the space.
Those concerns intensified after reports emerged that Meta Platforms and Anthropic are discussing a compute deal for up to $10 billion that would run over 2 years. No official announcements have been made, so there are no details yet about how many gigawatts such a deal could involve.
Details
Neither company has confirmed the talks, which were described as early-stage conversations by the unnamed source. However, it appears that Meta Platforms is serious about entering the cloud infrastructure industry, and its entry could affect key players.
Source
Originally published at www.fool.com.