Meta Platforms, Inc. forecasts notably higher capital expenditures in 2026 as it doubles down on AI-powered infrastructure, following Q3 revenue growth of 26% and a 32% jump in costs.
Meta Platforms, Inc., the parent company of Facebook and Instagram, has transformed from a social-networking pioneer into one of the largest tech investors in artificial intelligence. In recent years it has shifted focus toward building out data-centres, advanced AI models, and recruitment of talent, positioning AI as a core business driver alongside its advertising empire.
Meta announced on October 29, 2025, that it expects “capital expenditures dollar growth will be notably larger in 2026 than 2025", driven by heavy investments in AI infrastructure and compute capacity. In the third quarter, Meta reported revenue of $51.24 billion, up 26% year-over-year, while costs surged 32% to $30.71 billion. The company also revised its 2025 capex outlook upward to a range of $70-72 billion, up from a prior call of $66–72 billion.
CEO Mark Zuckerberg emphasised the need to “aggressively front-load building capacity, so that we’re prepared for the most optimistic cases.” CFO Susan Li added that employee compensation, especially for AI engineers hired in 2025, will be the second-largest cost driver in 2026.
While Meta’s core ad business remains strong, analysts caution that the heavy infrastructure outlays could weigh on margins if revenue growth doesn’t keep pace.