Bits, Broadcasts & Bandwidth: Weekly Investment Grade TMT Review

Research evidence excerpt

Bits, Broadcasts & Bandwidth: Weekly Investment Grade TMT Review

J P M O R G A N North America Credit Research

02 July 2026

Bits, Broadcasts & Bandwidth

Weekly Investment Grade TMT Review

In today’s TMT weekly, we first offer our thoughts on reports that Meta is North American Corporate Credit –

considering creating a business to sell excess compute capacity externally. We then Tech, Media, & Telecom (IG)

turn to results from Concentrix and FactSet, Comcast’s split announcement, and Erica R Spear AC

more. (1-212) 834-4143

erica.spear@jpmchase.com

• Theme of the Week – No Vacancy: Bloomberg reported yesterday that Meta Quinn Degen

is exploring the creation of an AI infrastructure business that would (1-212) 270-0091

enable the firm to sell access to both its AI models and underlying compute roger.degen@jpmchase.com

capacity, allowing external developers to rent capacity from Meta’s expanding J.P. Morgan Securities LLC

data center footprint in a manner similar to cloud providers such as AWS,

Azure, and Google Cloud, as well as AI infrastructure platforms like

CoreWeave. The reported initiative would create a new revenue stream beyond • Comcast Split (29 June)

Meta’s core advertising business and provide another avenue to monetize the • AI Capex 2.0 Webinar (25 June)

hundreds of billions of dollars the company is investing in AI infrastructure. • AI Capex 2.0 (17 June)

Some investors interpreted the report as an indication that Meta may • TMT Reference Sheet (5 June)

already be looking to offload excess capacity, ultimately leading to lower • IG TMT Weekly (5 June)

capital spending and possibly a reduced emphasis on the pursuit of AGI. • Ad Market Update (2 June)

We disagree with that interpretation, however. In our view, the • IG TMT Weekly (29 May)