January 24, 2025 at 02:12PM
Meta’s Zuckerberg says:
Meta is expected to spend $60 – $65 billion in This year versus previous guidance up 38 – $40 billion.
The stock is moving lower in premarket trading on the news. The current prices down $9.43 or -1.48% at $627.25.
Zuckerberg adds:
Plans to grow Meta’s AI team significantly
Company is building a 2GW+ data center “that is large and would cover a significant part of Manhattan”
They will continue to invest in the future
Hmmm
The market does not like increased costs, but likes improved efficiency and growth too. The initial reaction however is to the downside on this increasd spending.
Nvidia shares are trading higher by $0.76 or 0.52%
Meta announces earnings on January 29. Thisis the prequel to that release so there are no surprises..
Shares of Meta closed at a record level yesterday of $636.45. Shares are rebounding slightly and only down -0.55% currently.
PS Here is a map of the Richland data center that will cover most of Manhattan
This article was written by Greg Michalowski at www.forexlive.com.