Meta Platforms has announced plans to allocate up to $65 billion in 2025 to enhance its artificial intelligence (AI) infrastructure. According to a Reuters report, this move is aimed at strengthening the company’s position in the competitive AI landscape, competing with major players like OpenAI and Google. CEO Mark Zuckerberg confirmed this strategy on Friday, highlighting that AI will be pivotal for Meta’s future growth.
AI expansion and data centers
A large portion of the investment will be directed toward expanding Meta’s AI capabilities, which includes a significant focus on building advanced data centers. The company plans to construct a new data center that will require over 2 gigawatts (GW) of power—enough to supply a large portion of Manhattan, as per the Reuters report. In addition, Meta will ramp up its recruitment of AI experts and engineers to support its expanded infrastructure.
Graphics processors and computing power goals
Meta intends to increase its holdings of Nvidia’s highly sought-after AI chips. By the end of 2025, the company aims to have over 1.3 million graphics processing units (GPUs), which are critical to AI development. Meta also plans to bring approximately 1 GW of computing power online in the same year, significantly boosting its AI capabilities.
Impact on Meta’s business and products
Zuckerberg emphasized that 2025 would be a “defining year for AI” for Meta. This investment is expected to drive Meta’s core products and services, integrating AI into more facets of the business. One of the most notable developments is Meta’s AI assistant, which is expected to reach over 1 billion people by 2025, nearly doubling the 600 million monthly active users it had in 2024.
Industry-wide AI investments
Meta’s massive AI spending is part of a broader trend within the tech industry, as companies rush to invest in AI infrastructure. Notably, OpenAI, SoftBank, and Oracle recently announced a $500 billion initiative called Stargate to develop AI infrastructure across the U.S. Meanwhile, Microsoft and Amazon are also investing heavily, with Microsoft planning $80 billion in 2025 and Amazon’s 2025 investment projected to exceed $75 billion.
Meta’s competitive stand
This substantial financial commitment underscores Zuckerberg’s determination to ensure Meta doesn’t fall behind in the AI race. Analysts suggest that Meta’s timing, especially after the announcement of Stargate, signals urgency in bolstering its AI presence. Shares of Meta rose by 1% following the announcement, reflecting market confidence in the company’s strategy.
