Jul. 30 at 11:05 AM
There is a clear reason why
$MSFT is rallying and
$META is tanking this morning.
■
$MSFT's growth at its Azure and Copilot businesses signaled that its AI investments are beginning to pay off.
■ As
$META prepares to sell some of its excess capacity, Zuckerberg said the company has to consider what it should lease and what it should keep for developing its models and services.
■ Among the four major U.S. hyperscalers, Meta is the only one that doesn’t have a business selling cloud infrastructure and services even though its capital expenditures rival that of its peers. ← Weakest AI cloud offering.
■ “It would be foolish to basically just sell all of the compute and take a short-term profit,” Zuckerberg said.
■ Zuckerberg acknowledged that jumping into the enterprise, where Meta has historically struggled, will require some hard work, and that the company has to learn how to do it.
$META is wishy washy and do not have a clear AI strategy.
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