Meta, the company that owns Facebook, is planning to nearly double its spending on artificial intelligence this year. Mark Zuckerberg, the CEO of Meta, announced that the company expects to spend up to $135 billion in 2025, mostly on AI infrastructure and projects. This is a huge increase from the $72 billion Meta spent last year on similar efforts. Over the past three years, Meta has already spent about $140 billion trying to stay ahead in the fast-growing AI industry. Zuckerberg believes that 2026 will be the year when AI really changes how people work. He shared these thoughts during a call with financial analysts, where Meta also reported its financial results for 2025.
Even though Meta is investing so much in AI, the company’s expenses are rising faster than its revenues, which means its profit margins are getting smaller. Despite this, Meta’s stock price went up by about 6. 5 percent after the announcement. Zuckerberg explained that the big investment in AI is meant to help Meta’s employees become more productive. He said that some projects that used to need large teams can now be done by just one very talented person, thanks to AI tools. Because of this, Meta has already laid off several hundred workers this year, especially in its Reality Labs division, which works on the "metaverse," hardware, and AI. Zuckerberg said that as workers use AI tools to get more done, there is a big difference between those who use them well and those who do not.
However, not everyone in the tech industry thinks this is a good idea. Some experts warn that all this spending could create an AI bubble, similar to the dotcom bubble that burst in 2000. Chuck Robbins, the CEO of Cisco, said that while AI could become even bigger than the internet, the current excitement might be too much, and some companies might not survive. Jamie Dimon, the boss of JPMorgan Chase, and Sundar Pichai, the CEO of Google, have also shared concerns about the AI boom. Sam Altman, the head of OpenAI, said that investors are probably too excited about AI right now. Even with these warnings, Zuckerberg is confident that AI will play a huge role in the future, and Meta is spending big to make sure it stays ahead.
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