Meta CEO Calls Consumer AI ‘One of the Most Transformative Products We’ve Made’
Meta Platforms Inc. isn’t backing down from its aggressive spending, even after the DeepSeek news.
The company reaffirmed its forecast of $60 billion to $65 billion in capital expenditures for the year—an outlook CEO Mark Zuckerberg first shared on Facebook last week. Furthermore, Meta remains committed to massive investments in artificial intelligence for the long haul.
During the earnings call, Zuckerberg emphasized that Meta plans to pour “hundreds of billions of dollars” into AI infrastructure over time.
Following the earnings announcement, Meta’s stock climbed 2.3% in after-hours trading, despite a mixed financial report.
Zuckerberg acknowledged that he often describes each year as critical for Meta, but this time, he believes “the trajectory for most of our long-term initiatives will become much clearer by the end of the year.” A key focus is Meta AI, the company’s consumer AI platform, which he aims to roll out to over a billion users by the end of 2025.
“I continue to think that this is going to be one of the most transformative products that we’ve made,” Zuckerberg stated.
Meta’s optimistic outlook on AI helped offset concerns about its first-quarter guidance. A strong U.S. dollar poses challenges for multinational corporations, and Meta anticipates significant currency-related headwinds.
The company projects Q1 revenue between $39.5 billion and $41.8 billion, with the midpoint slightly below analysts’ expectations of $41.7 billion, according to FactSet.
Despite this cautious forecast, it delivered solid fourth-quarter results. Revenue surged 21% year-over-year to $48.4 billion, surpassing the $47.0 billion analysts had expected. The company also reported a 6% increase in ad impressions and a 14% rise in the average price per ad.
In a separate development, The Wall Street Journal reported that Meta reached a $22 million settlement with former President Donald Trump over the suspension of his account following the January 2021 U.S. Capitol riot. According to a Meta spokesperson, most of the settlement funds will go toward Trump’s presidential library.
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