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Meta AI Spending and Muse Assistant Take Center Stage in Third-Quarter Earnings
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CNBC TV18•20-10-2026, 16:25
Meta AI Spending and Muse Assistant Take Center Stage in Third-Quarter Earnings
- •Meta faces investor scrutiny over massive artificial intelligence spending and the adoption rate of its Muse personal assistant during its third-quarter earnings report.
- •CEO Mark Zuckerberg is pushing to diversify revenue beyond advertising by introducing AI products and subscription services to compete with OpenAI and Anthropic.
- •Analysts estimate that Meta's capital expenditure more than doubled to $41.68 billion in the September quarter, driving expected cash burn to $8.52 billion.
- •Wall Street expects Meta to report a 23.8 percent increase in revenue to $63.42 billion, while net income is projected to decline by about 17 percent to $15.44 billion.
Key Questions Answered
Analysts estimate that Meta's capital expenditure more than doubled to $41.68 billion in the September quarter, driven by massive investments in artificial intelligence infrastructure.
Wall Street expects Meta to report a decline of about 17% in net income, bringing it down to $15.44 billion for the third quarter.
Shares of Meta have gained about 7% this year, which has underperformed a roughly 12% rise in the benchmark S&P 500 index.
