Meta stock pares losses on report of AI computing deal talks

Meta Platforms (NASDAQ: META) recovered from a steep 5.7% dip, paring losses to 3% after a New York Times report revealed the tech giant is in early-stage talks to lease its vast AI data centers to Anthropic in a blockbuster $10 billion deal.

According to the report, Anthropic proposed the deal in June, which would involve the AI startup paying Meta in monthly increments over a two-year period for access to its AI data centers. Both companies would have the option to exit the agreement early.

The potential arrangement would represent a new business line for Meta, which has invested heavily in AI infrastructure. The deal’s structure mirrors a larger agreement Anthropic signed with SpaceX in May, under which the AI company is paying $45 billion over three years for computing power.

The report highlighted the scarcity of computing resources for AI development, a constraint that has become increasingly acute as companies race to build and deploy advanced AI models.

Meta has been expanding its AI capabilities and infrastructure as part of its broader technology strategy. The potential deal would allow the company to monetize excess computing capacity while Anthropic gains access to the specialized hardware needed for AI model training and deployment.

You May Also Be Interested In

• AMD challenges Nvidia with massive Anthropic deal, though shares dip pre-market
• IBM shares rise 3% post-Q2 earnings miss as investors eye prior profit warning
• Stifel upgrades DigitalOcean to Buy on AI demand, raises target to $160