Cloudflare’s shares surged 11% premarket on Tuesday due to social media buzz around its “Clawdbot” AI agent. Developers use Cloudflare’s infrastructure to securely connect with Clawdbot for autonomous task execution. Clawdbot’s popularity indicates potential real-world use, boosting Cloudflare’s edge network and consumption-based pricing model.

Cloudflare is set to report earnings on February 10, with investors eager to see if AI-related activity translates into increased traffic and revenue. Analysts believe Cloudflare is well-positioned to capture activity from scaling agentic tools like Clawdbot, as CEO Matthew Prince notes that 80% of leading AI companies already rely on their infrastructure.

Cloudflare’s CEO anticipates that future AI agents will need to pass through their network and adhere to their rules. This suggests a continued reliance on Cloudflare’s infrastructure as AI technology advances.

Read more at Yahoo Finance: Cloudflare surges as viral AI agent buzz lifts expectations