SAN FRANCISCO: Mark Zuckerberg defended Meta’s aggressive investment in artificial intelligence, even as the tech giant’s shares slipped following concerns over rising costs despite strong financial results.
The Meta Platforms chief reaffirmed the company’s commitment to AI, announcing that capital expenditures for the year would rise to between $125 billion and $145 billion.
However, the company did not provide clear details on how the investment would translate into immediate profits, prompting questions from analysts.
“The way to think about the investment is that we’re making a bet (on) the individual things that people care about, and that people are going to be more important in the future,” Zuckerberg said during an earnings call.
Muse Spark AI
Highlighting emerging trends, he pointed to the rise of “agentic” AI systems capable of performing tasks independently.
“There are a lot of agents out there that people are building for different things, and there aren’t that many that I would want to give to my mother,” he said, stressing the importance of quality. “I think getting to that quality bar is something that I care about more than hitting a specific week for launching (a new product) or something like that.”
Zuckerberg also referenced Meta’s new Muse Spark AI model developed by its Superintelligence Lab, which is expected to enhance products such as smart glasses and advertising tools.
Despite reporting a quarterly profit of $26.8 billion on revenue of $56.3 billion, Meta’s shares fell more than six percent as expenses climbed to $33.4 billion.
Chief financial officer Susan Li warned of ongoing regulatory “headwinds,” including lawsuits over social media addiction, adding to investor concerns about the company’s future outlook.
