Meta's AI Gamble: Billions Poured Into the Future

Meta Raises AI Spending Forecast Meta Platforms Inc. announced on Thursday, April 30, 2026, an increase in its artificial intelligence (AI) spending forecast for 2026, leading to an initial decline in its stock value.

The company now projects capital expenditures (capex) for 2026 to be between $125 billion and $145 billion, an increase from its previous forecast of $115 billion to $135 billion. This adjustment is primarily attributed to higher component pricing and additional data center costs required to support future capacity.

Despite exceeding first-quarter earnings expectations with an earnings per share (EPS) of $10.44 on revenue of $56.3 billion, compared to analyst estimates of $8.15 EPS on $55.5 billion revenue, the increased spending outlook impacted investor sentiment. Excluding an $8 billion one-time tax benefit, EPS would have been $7.31. The company's stock fell over 8% in premarket trading following the announcement.

Meta's overall expenses for 2026 are expected to remain stable, ranging from $162 billion to $169 billion. The company also reported a 4% increase in daily active users across its platforms, reaching 3.56 billion as of March, while ad impressions rose 19% and the price per ad increased by 12% year-over-year.