Meta Launches $35 Billion Equity Offering to Fund AI Infrastructure and Personal Superintelligence Push

Meta Platforms, Inc. announced on Monday the launch of concurrent underwritten public offerings totaling approximately $35 billion, comprising $22.5 billion of Class A common stock and $12.5 billion in depositary shares representing Series A mandatory convertible preferred stock, as part of a broader financing plan to sustain its aggressive investments in artificial intelligence infrastructure and personal superintelligence initiatives.

The Menlo Park-based company said the offerings are a key component of a financing strategy that also includes a planned $60 billion at-the-market program, which is expected to launch in the first quarter of 2027 following the commencement of trading of Meta's previously announced Class C common stock. Meta expects to grant underwriters a 30-day option to purchase up to an additional 37,500,000 depositary shares and up to an additional $3.375 billion of Class A common stock to cover over-allotments. The company intends to use net proceeds from both offerings for general corporate purposes.

Meta expects capital expenditures of $135 billion to $145 billion in 2026 as it expands the infrastructure and compute capacity needed to support its AI ambitions. The company generated $97 billion of operating cash flow in the first three quarters of 2026 and held approximately $82 billion in cash, cash equivalents and marketable securities at the end of the third quarter. Its Aa3/AA- credit ratings allow it to raise long-term debt efficiently, and the equity offerings announced Monday are intended to complement operating cash flow and investment-grade debt as funding sources.

The financing announcement comes as Meta reported third-quarter 2026 revenue of $64.6 billion, up 26% year over year, with net income of $9.9 billion. The company said 3.64 billion people used at least one of its family of apps daily as of September 2026, and it has delivered six consecutive quarters of more than 20% year-over-year revenue growth, supported in part by AI-powered improvements to content recommendations, engagement and advertising performance. Meta also disclosed that its Muse AI assistant onboarded more than 10 million users in the U.S. and Canada within the early weeks of launch, with shopping the leading use case.

Meta owns data centers in 23 U.S. states, is building four superclusters with more than one gigawatt of capacity each, and is on track to nearly double total infrastructure capacity in 2026 on a year-over-year basis. The company said investments in custom silicon and other optimization initiatives are aimed at reducing the cost of compute and improving returns on every dollar invested. Meta also noted that NVIDIA Corporation, Advanced Micro Devices, Inc. and Broadcom Inc. have indicated a non-binding interest in purchasing up to an aggregate of $5.0 billion of shares of Class A common stock in the common stock offering on the same terms as other purchasers.

Morgan Stanley & Co. LLC and Goldman Sachs & Co. LLC are acting as lead joint bookrunning managers for the offerings. The depositary shares are expected to be listed on the Nasdaq Global Select Market under the symbol "METAM." The completion of each offering is not conditioned on the completion of the other.