Why Nebius & CoreWeave stocks tumbled after Meta's AI cloud plans

Shares of AI cloud infrastructure providers Nebius and CoreWeave fell sharply after reports that Meta Platforms is planning a commercial AI cloud business to rent computing power to external customers. Nebius dropped as much as 17%, marking one of its steepest single-day declines, while CoreWeave also slid significantly on concerns over customer concentration and pricing power. Analysts flagged structural risks as hyperscalers could evolve from AI infrastructure customers into competitors, though some brokerages maintained bullish ratings citing demand-supply imbalance.