Meta launches $35 billion stock sale to fund AI spending

what happened

On Monday, Meta Platforms opened public offerings of around $35 billion in common shares and convertible preferred stock. Reuters reports that the Facebook parent is raising the money to finance its expensive push into artificial intelligence.

The company also intends to start a separate at-the-market sale program worth up to $60 billion. That program is tied to the planned debut of non-voting Class C shares, which are expected to begin trading in early 2027.

The scale of the plan reflects heavy investment in data centers, computing capacity and AI products as Meta competes with OpenAI and Anthropic. As of September 30, the company held $82.45 billion in cash, cash equivalents and marketable securities, slightly above its $80.92 billion of long-term debt, according to its quarterly filing. Its future spending commitments total about $825 billion.

why it matters

For markets this is a large capital raise. The new securities could add to Meta's share supply, while the size of its spending commitments shows how big AI outlays have become for major tech firms. Investors will watch how the company balances rising costs with its cash position and debt load.

market impact

Meta and Nasdaq stocks: extra share supply from the offering can weigh on META shares

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