Deutsche Bank: Meta Cloud business may open a channel for monetizing hundreds of billions of dollars of AI investment, with revenue expected to increase by up to $30 billion by 2027.

According to Mars Finance, Deutsche Bank believes that Meta's plan to sell AI computing power and model access to external customers does not necessarily mean that Meta is weakening its cutting-edge models or "superintelligence" strategy. Rather, it's more likely that Meta is monetizing older, non-core, or temporarily idle computing power while retaining the latest generation chips for internal training. This move is expected to shift market concerns about Meta's "high capital expenditure and limited revenue returns" to a reassessment of its new high-profit revenue options. Deutsche Bank estimates that Meta's AI-related computing power may reach 8 to 11.5 GW by the end of 2027, of which approximately 1.2 to 2.7 GW can be sold externally. Assuming 75% is sold, with annualized revenue of $10 billion to $15 billion per GW, Meta could generate an additional $9 billion to $30 billion in revenue in 2027, 3% to 10% higher than market expectations, with a baseline scenario of approximately $17.5 billion. (Cailian Press)