Source The New York Times · Published · Open the original ↗
Markets
Meta Earnings Show Increased A.I. Spending, Even as Cash Pressures Grow
The spending has hurt the Silicon Valley giant’s cash flow, which turned negative. Meta said it would issue a new class of stock to help it raise more money.
Meta has been spending billions to lead in artificial intelligence. Now even the Silicon Valley giant, which is one of the world’s most valuable companies, is feeling the pressure of keeping up those investments.
On Wednesday, the company said it planned to continue spending on A.I. and raised the floor of its capital expenditures this year to $135 billion from $130 billion. The bulk of that will go toward building data centers , the computing facilities that power cutting-edge A.I.
But the moves have eaten into Meta’s cash. Its free cash flow, which is the money it had on hand after paying for expenses, turned negative for the three months that ended Sept. 30, dropping to negative $2.12 billion. That was down from $784 million at the end of June and $8.55 billion in June 2025.
The opening of the report, quoted unchanged from The New York Times. The full text continues at the source.