Meta is raising about $35 billion in stock for AI
Meta, which owns Facebook and WhatsApp, launched a huge $35 billion stock offering on Monday.
The short version
- Nvidia, the chipmaker, and Advanced Micro Devices, the computer chip maker, signaled interest in buying stock.
- The giant cash injection will help fund massive artificial intelligence spending through 2027.
Why it matters to you. For your business, the spending spree shows just how much cash the tech giants are pouring into artificial intelligence infrastructure right now.
Meta, which owns Facebook and WhatsApp, just launched a massive $35 billion public stock offering on Monday to fund its booming artificial intelligence infrastructure. According to Quartz, the deal consists of about $22.5 billion in common stock and about $12.5 billion in preferred stock.
Nvidia, the chipmaker, Advanced Micro Devices, the computer chip maker, and Broadcom, the maker of networking chips, have each signaled interest in buying up to $5.0 billion of that Class A stock. But the chipmakers are making no promises yet, and the nonbinding indications mean any of them could buy more, less or none at all.
Meta expects capital expenditures to hit between $135 billion and $145 billion in 2026 alone. The company is funding the massive bill through operating cash flow, investment-grade debt, strategic partnerships and new equity capital. Meta pulled in $97 billion in operating cash flow during the first three quarters of 2026 and held about $82 billion in cash and marketable securities at the end of the third quarter.
Third-quarter revenue reached $64.6 billion, up 26% from a year earlier, with net income hitting $9.9 billion. Morgan Stanley, the investment bank, and Goldman Sachs, the investment bank, are leading the deal as joint bookrunning managers.
When the biggest companies on earth are spending $145 billion a year on hardware, the ripple effects touch every server, chip, and data center on the market.
