WS #16021
The AI infrastructure trade is encountering resistance as Nebius Group (NBIS) fell 6% following a Gartner warning on AI cloud demand, while storage giants Seagate and Western Digital trade lower on concerns regarding Toshiba capacity expansions and hyperscaler capex limits. Despite these headwinds, Meta is advancing its open-weight AI strategy with the release of Muse Spark, an 816B parameter model designed to compete with Chinese alternatives, highlighting a split between speculative cloud demand and foundational model competition.
AI Infrastructure Headwinds
The AI infrastructure trade is encountering resistance as Nebius Group (NBIS) fell 6% following a Gartner warning on AI cloud demand, while storage giants Seagate and Western Digital trade lower on concerns regarding Toshiba capacity expansions and hyperscaler capex limits. Despite these headwinds, Meta is advancing its open-weight AI strategy with the release of Muse Spark, an 816B parameter model designed to compete with Chinese alternatives, highlighting a split between speculative cloud demand and foundational model competition.