On July 1, news that Meta, parent company of Facebook and Instagram, is entering the AI cloud infrastructure business shook global stock markets. Meta’s stock surged 9%, but semiconductor stocks plunged. The shockwave spread to South Korean markets on July 2, with Samsung Electronics falling 9.06% and SK Hynix plummeting 14.57%. Bloomberg reported on July 1 that Meta is preparing a cloud business, dubbed “Meta Compute,” which will sell idle computing resources from its data centers to external customers, positioning itself as a supplier of surplus AI infrastructure and directly competing with Amazon, Microsoft, and Google. Markets offered conflicting interpretations: one view sees Meta transforming its “bottomless investment” into a “revenue-generating asset,” as CEO Mark Zuckerberg stated at the May shareholder meeting, “If we’ve overbuilt AI infrastructure, selling it is an option we have.” Conversely, some interpret this as confirmation of “excessive AI investment,” with Meta publicly acknowledging surplus computing resources. Meta’s stock jumped nearly 9% that day, while Micron fell over 10%, SanDisk (-10.6%), Intel (-9.03%), and AMD (-6.89%) also collapsed. The Philadelphia Semiconductor Index closed down 6.27% at 13,353.28. U.S. investment bank Citi reaffirmed its “buy” rating and $850 price target for Meta.