Meta Platforms on Friday announced that the company plans to invest between $60 billion and $65 billion in 2025 to expand its AI infrastructure.
The company joins other major U.S. tech firms in announcing significant spending to leverage advancements in artificial intelligence.
Meta plans to develop a massive data center with a capacity of more than two gigawatts, capable of spanning a significant area of Manhattan.
Electricity Sector faces grim outlook – Expert
Chief Executive Officer Mark Zuckerberg anticipates that Meta’s AI assistant, integrated across platforms such as Facebook and Instagram, will reach more than one billion users in 2025.
Meta’s projected capital expenditure of up to 65 billion dollars represents a substantial increase compared to its estimated spending of 38 billion dollars to 40 billion dollars in the previous year.
Zuckerberg expects Meta’s AI assistant — available across its services, including Facebook and Instagram — to serve more than 1 billion people in 2025, while its open-source Llama 4 would become the “leading state-of-the-art model”.
Shares of the company were 1.6% higher in early trading.
Big technology companies have been investing tens of billions of dollars to develop AI-related infrastructure after the meteoric success of OpenAI’s ChatGPT highlighted the potential for the technology.
U.S. President Donald Trump on Tuesday announced that OpenAI, SoftBank Group 9984.T and Oracle ORCL.N will form a venture called Stargate and invest $500 billion in AI infrastructure across the United States.
Earlier this month, Microsoft said it was planning to invest about $80 billion in fiscal 2025 to develop data centers, while Amazon.com has said its capital spending for 2025 would be higher than an estimated $75 billion in 2024.
Meta’s planned capital spending of up to $65 billion would mark a significant jump from its estimated capital spending of $38 billion to $40 billion for last year.
As part of the AI efforts, the company said it would build an AI engineer that will start contributing increasing amounts of code to its research and design efforts. It will also continue to grow the teams working on AI services.
