Overview
- Meta said at its annual shareholder meeting on Wednesday, May 27, that entering the public cloud market is "definitely on the table" if the company builds more AI capacity than it needs.
- The company raised 2026 AI-related capital expenditure guidance to $125 billion–$145 billion as it expands multi‑gigawatt data centers and projects such as Prometheus and Hyperion.
- Meta has cut about 8,000 jobs, closed open roles and reassigned roughly 7,000 employees into AI teams as it shifts people and costs toward its infrastructure push.
- In the near term Meta will lean on large partnerships and deals, including more than $10 billion in arrangements with Google Cloud and work with CoreWeave and Nebius, while it lacks a public cloud sales, billing and support stack.
- The pivot raises investor and community questions about returns, local environmental and privacy impacts, and the key signals to watch are enterprise hiring, formal product plans, and any move to offer billed compute services.