Meta plans to raise $35 billion to fund its AI ambitions
Meta plans to raise $35 billion through a stock offering to fund the development of its artificial intelligence, according to documents released Monday by the U.S. Securities and Exchange Commission.
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Add to Preferred Sources Credit: Pixabay/CC0 Public Domain Meta plans to raise $35 billion through a stock offering to fund the development of its artificial intelligence, according to documents released Monday by the U.S. Securities and Exchange Commission.
Facebook's parent company also announced plans to launch an additional stock offering of up to $60 billion, at a date yet to be determined.
The fundraising comes days after Meta created a new class of nonvoting shares that it said would give it greater flexibility to raise capital as it competes in AI.
Chipmakers Nvidia, AMD and Broadcom, all major suppliers to the AI data center boom, have indicated interest in buying up to $5 billion of the common stock offered, Meta said, though those indications are not binding.
The company has been spending aggressively to build out its artificial intelligence (AI) capabilities, and investors are looking for signs that the investments are paying off.
Because the new shares carry no voting rights, Meta can issue them without diluting the voting control held by founder and chief executive Mark Zuckerberg.
Google parent Alphabet recently raised $85 billion through equity offerings to fund its own AI data center expansion.
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