May 03, 2025 | Posted by Abdul-Rahman Oladimeji
Meta reported strong earnings and growing AI data center spend in its latest quarter,expecting its 2025 capital expenditure to increase to between $64 billion and $72bn, up from the $60bn to $65bn it previously planned to spend.
CFO Susan Li noted in an earnings call that the increase is partially due to "some adjustments to flex our build strategy that will enable us to really stand up capacity more quickly, both in '25 and '26," But the "higher cost we expect to incur for infrastructure hardware this year really comes from suppliers who source from countries around the world, and there's just a lot of uncertainty around this given the ongoing trade discussions," Li continued.
"And so that is both reflected in the wider range that we are giving, and we're also working on our end on mitigations by optimizing our supply chain and our outlook is really trying to reflect our best understanding of the potential impact this year across all of that uncertainty."