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Meta to Divest $2 Billion in Data Center Assets to Fuel AI Expansion

It lets Meta share AI infrastructure costs with external partners to sustain its record ad-driven growth.

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Overview

  • Meta reported second-quarter revenue of $47.5 billion and earnings per share of $7.14, beating Wall Street estimates with advertising revenue growth accelerating to 22 percent.
  • The company has approved the sale of $2.04 billion in data center land and construction-in-progress as held-for-sale assets to third parties under a co-development strategy.
  • Meta narrowed its 2025 capital expenditures outlook to $66 billion–$72 billion and signaled plans for a further $30 billion increase in 2026 to support advanced AI infrastructure.
  • Bank of America raised its price target on Meta shares to $900 and TheStreet Pro’s Chris Versace boosted his to $850 on stronger AI-driven ad efficiency and user engagement.
  • Shares are up about 52 percent year to date, but investors remain cautious about potential margin pressure if AI spending outpaces future revenue growth.