Meta Plans $95 Billion Equity Raise For AI Buildout

Meta Platforms said Monday it plans to raise $95 billion in capital to fund investments in artificial intelligence infrastructure and superintelligence, sending its shares down 1.6% in morning trading.

The company will start with $35 billion in underwritten public equity offerings, then add $60 billion through an at-the-market program. Nvidia, Advanced Micro Devices and Broadcom have indicated interest in buying as much as $5 billion of the shares, Meta said. The company plans to fund the investments through operating cash flow, investment-grade debt, partnerships and equity capital.

Meta's spending plans cover its family of apps, its AI agent Muse and its data center operations. The company is building four superclusters with more than 1 gigawatt of capacity each and said it is on track to nearly double total infrastructure capacity in 2026 against 2025 levels. Full-year capital expenditure is forecast at $135 billion to $145 billion, up from a prior floor of $130 billion.

Third-quarter revenue reached $64.60 billion, up 26% from a year earlier and above the $63.37 billion analysts expected. Investors focused instead on negative free cash flow and the higher capital expenditure guidance, which pushed shares lower on Thursday.

Goldman Sachs estimates AI-related capital spending could total about $7.6 trillion from 2026 through 2031 across compute, data centers and power. Other companies are also raising money: Alphabet said in June it would seek to raise $85 billion, SpaceX closed a $40 billion debt financing to buy graphics processing units, and Anthropic is preparing an initial public offering.

Ben Wood, a senior partner at CCS Insight, said the scale of investment reflects "the eye-watering levels of investment required to keep up in the AI arms race." He added, "Meta offering more stock comes at a time when numerous companies, such as Google, SpaceX and soon, Anthropic, are going to the markets to raise funds."

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