Meta Platforms, Inc. has announced plans to invest up to $65 billion in 2025 to expand its artificial intelligence (AI) infrastructure.
According to a Reuters report, Meta’s CEO Mark Zuckerberg aims to strengthen the company’s competitive edge against rivals such as OpenAI and Google in the rapidly evolving AI landscape.
Meta’s CEO, Mark Zuckerberg, emphasized the transformative potential of these efforts, stating, “This will be a defining year for AI. This is a massive effort, and over the coming years it will drive our core products and business,” in a Facebook post.
As part of the investment, Meta plans to accelerate hiring for AI-focused roles, construct a data center with over 2-gigawatt capacity capable of powering a significant portion of Manhattan, and expand its fleet of Nvidia’s high-demand AI chips, aiming to exceed 1.3 million graphics processors by year-end. Additionally, the company intends to bring approximately 1 gigawatt of computing power online by 2025.
The $65 billion capital expenditure represents a significant leap from Meta’s estimated $38 billion to $40 billion expenditure in 2024
In a related development, Meta is also taking steps to optimize its workforce as part of its strategy to achieve these ambitious goals. The company plans to reduce its workforce by 5%, targeting underperforming employees.
Zuckerberg further emphasized the company’s intent to “raise the bar on performance management” and accelerate the process of managing low performers in 2025 with the intention of backfilling the roles.
Meta’s investment comes on the heels of significant developments in the AI sector.
Meta has emerged as a big player in the AI race with its AI chatbot, Ray-Ban smart glasses and open-source approach.