Meta shares dipped after a disappointing Q2 revenue outlook and plans to spend nearly $100 billion this year as it aims to “invest aggressively” in its AI products.
Meta (META) shares dropped 15% in after-hours trading after the firm said it will “aggressively” ramp up spending in artificial intelligence spending while its metaverse division will continue to run at a loss — amid a weak revenue outlook.
The giant said in its April 24 first quarter 2024 results it expected expenses to rise to a range between $96 billion to $99 billion — up from $94 billion to $99 billion due to “higher infrastructure and legal costs.”
It also bumped full-year 2024 capital expenditures to a top end of $40 billion from its prior $37 billion as it would “invest aggressively to support our ambitious AI research and product development.”
