Report: Meta Looks to Raise $35 Billion to Develop Data Centers
Meta is reportedly in talks to raise $35 billion to help finance the development of data centers in the U.S.
The talks are at an early stage and there’s no certainty a deal will be reached, Bloomberg reported Thursday (Feb. 27), citing unnamed sources.
Meta did not immediately reply to PYMNTS’ request for comment.
The company said in January that it plans to invest $60 billion to $65 billion in capital expenditures and grow its artificial intelligence (AI) teams “significantly” this year.
Meta CEO Mark Zuckerberg said in a Jan. 24 post on Facebook that this infrastructure will power the company’s AI efforts, that 2025 will be a “defining year” for AI, and that Meta will bring online 1 gigawatt of compute and will have more than 1.3 million GPUs by the end of the year.
“This is a massive effort, and over the coming years it will drive our core products and business, unlock historic innovation, and extend American technology leadership,” Zuckerberg said in the post.
Meta, Google, Microsoft and Amazon announced they are planning to collectively spend at least $315 billion on capital expenditures in 2025, much of it for AI, PYMNTS reported Feb. 7.
Google parent Alphabet has set aside $75 billion, mainly toward data centers, servers and networking infrastructure; Amazon forecasted capital expenditures of $100 billion for the year; and Microsoft is booking $80 billion to build data centers, train AI models and deploy AI and cloud-based applications.
When announcing Microsoft’s data center plans in a Jan. 3 blog post, Microsoft Vice Chair and President Brad Smith wrote that the company was doing so amid a “golden opportunity for American AI.”
In January, President Donald Trump announced an up-to-$500 billion project called Stargate that aims to build big AI-focused data centers in the U.S.
Equity partners in Stargate are Softbank, which will be responsible for funding the venture, OpenAI, Oracle and MGX, an AI-focused sovereign wealth fund in Dubai. OpenAI co-leads the venture with Softbank; it will have operational responsibility for the project. SoftBank CEO Masayoshi Son will chair Stargate. Oracle, Arm, Microsoft, Nvidia and OpenAI will be the project’s initial technology partners.
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