"Meta Platforms Inc.'s better-than-expected sales outlook helped ease Wall Street concerns about plans for unprecedented spending on artificial intelligence this year. The social networking giant topped projections for holiday quarter revenue and gave a strong forecast for the current period during its earnings report Wednesday. Improvements in its online advertising business are making it possible for Meta to spend hundreds of billions of dollars over the next few years on AI infrastructure. Meta's shares jumped more than 11% in extended trading."
"To get there, Meta is spending aggressively. The company estimated that full-year capital expenditures will be between $115 billion and $135 billion, exceeding the $110.6 billion average analyst estimate, according to data compiled by Bloomberg. If Meta hits the top-end of that range, it will mean a jump of roughly 87% from 2025, a record year in which cap-ex topped $72 billion."
Meta reported holiday-quarter revenue above expectations and issued a strong forecast for the current period, aided by improvements in its online advertising business. The company plans unprecedented AI infrastructure investment, projecting full-year capital expenditures of $115 billion to $135 billion, above analyst estimates. If spending reaches the top of the range, cap-ex would rise roughly 87% from 2025 levels. CEO Mark Zuckerberg is pursuing aggressive accumulation of infrastructure, computing power, and talent, describing a strategy of "front-loading" capacity toward a goal of superintelligence and saying the company expects an accelerating trajectory with new models and products forthcoming.
Read at Macon Telegraph
Unable to calculate read time
Collection
[
|
...
]