Meta Considers Raising Billions Through Share Sale to Fund AI Growth

Meta Platforms is considering raising billions of dollars through a share sale as it looks for ways to finance its growing artificial intelligence spending, according to the Financial Times, and Meta’s stock fell after the report. The company has not confirmed any deal, and people familiar with the discussions said no final decision has been made.

The report comes as Meta, like other large technology companies, is under pressure to keep funding costly AI infrastructure, talent and product development. According to the FT, executives have been examining “creative” financing options, including an equity raise, as spending on AI continues to rise. Meta is reportedly studying the structure used in Alphabet’s recently announced $85 billion equity offering, which relied on a mandatory convertible preferred security that brings in cash immediately while delaying the issuance of common stock.