"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."
"Meta projected record spending for 2026, driven by Chief Executive Officer Mark Zuckerberg's aggressive campaign to amass the infrastructure, computing power and talent that he deems necessary to win a competitive AI race. Zuckerberg has said his strategy centers on "front-loading" computing capacity in preparation for reaching the company's goal of superintelligence, a theoretical milestone at which point AI can meet or outperform humans at many tasks."
Meta reported better-than-expected holiday quarter revenue and a strong near-term forecast, supported by improvements in its online advertising business and a post-report shares rise of more than 11%. The company projected record 2026 spending to build AI infrastructure, computing capacity, and talent as part of an aggressive competitive strategy. Full-year capital expenditures are estimated between $115 billion and $135 billion, above analyst expectations and potentially an 87% increase from 2025 at the top end. The strategy emphasizes front-loading computing capacity to pursue superintelligence while early models may show modest initial performance but strong trajectory.
Read at Biloxi Sun Herald
Unable to calculate read time
Collection
[
|
...
]