Meta is seeking about 35 billion for its AI efforts through equity arrangements and is planning an additional 60 billion offering for next year. At least Nvidia, AMD, and Broadcom are interested in participating in the financing; even though the ad business is minting money, the massive investments pushed free cash flow into the negative.
In a way, future AI returns are pitted against share dilution, especially while Zuckerberg simultaneously seeks to retain his voting control.
Meta Platforms shares rose 1% after falling as much as 4% earlier in the session, reversing an initial selloff following the company’s launch of roughly $35 billion in equity offerings to help fund its AI infrastructure buildout. Meta also outlined plans for a separate $60 billion nonvoting share offering in 2027.
EDIT: At least the link works now.