Overview
- Meta will cut about 10% of its workforce later this month, with more reductions expected this year as Mark Zuckerberg links the moves to a deeper push into AI.
- The company is pursuing roughly $13 billion in financing for a new data center in El Paso, Texas, according to Bloomberg, with Morgan Stanley and JPMorgan reported to be leading the effort.
- First‑quarter results were strong, with revenue of $56.31 billion up 33% and GAAP EPS of $10.44 boosted by a one‑time $8.03 billion tax benefit, while ad impressions rose 19% and the average price per ad increased 12%.
- Executives raised 2026 capital‑spending guidance to about $125 billion to $145 billion to fund AI talent and data‑center buildout after costs rose roughly 35% even as operating margin reached 41%.
- Analyst views diverged, with Evercore ISI lifting its price target to $930 and Pivotal Research trimming its target to $790 over uncertain returns compared with cloud peers, a debate shaped by Meta’s past heavy metaverse spending and its 3.56 billion daily users across its apps.