Meta Raises 2026 Capex Outlook to $145 Billion
Meta raised its 2026 capital-expenditure guidance to $125 billion to $145 billion from $115 billion to $135 billion, while reporting first-quarter revenue of $56.3 billion, up 33%. The company said it had continued to underestimate compute needs even as it ramped capacity, and that most of the spending increase was due to higher component costs, particularly memory pricing.
Meta's contractual commitments increased by $107 billion in the quarter through multiyear cloud deals and infrastructure purchase agreements. First-quarter capital spending was $19.8 billion, below the pace implied by the full-year guide, pointing to a heavier ramp later in the year. Meta also said it has more than one gigawatt of custom silicon in development with Broadcom, is using a significant amount of AMD chips alongside Nvidia systems, and plans to reduce the size of its employee base in May.
From the sources (1 posts)
@tengyanaiMETA's Q1 earnings call a few hours ago was important (i listened to the whole hour) The headline was not the $56.3B revenue or 33% growth. The bigger signal is that Meta raised 2026 capex guidance again to $125-145B from a prior $115-135B