Meta Is Getting Creative to Fund Its Massive AI Investments

A facts-only brief, written by a local AI model from this article in The Wall Street Journal, October 21, 2026. It may contain mistakes, and it is not the article: the full story is at wsj.com.

Meta plans to issue a new class of nonvoting shares starting in January 2027 to fund artificial intelligence development, a measure that will preserve CEO Mark Zuckerberg’s voting authority. The technology firm disclosed record third-quarter earnings of $64.6 billion, marking a 26% rise compared to the previous year. These financial figures were released shortly after a New Mexico court ruled that the company must compensate the state with $25 billion for deceptive conduct regarding user data protection. Officials in New Mexico characterized this financial penalty as one of the most significant legal judgments in American history.

Background

• Tesla posted flat third-quarter sales and positive free cash flow, while capital expenditures dropped to $4.7 billion despite CEO Elon Musk’s earlier assertion that 2026 would involve substantial spending on AI infrastructure.
• Musk suggested on a recent earnings call that combining Tesla and SpaceX would be beneficial, though no formal merger agreement has been confirmed.
• Ukrainian military sources indicated that reduced access to Starshield services has weakened Kyiv’s defensive capabilities against Russian forces, while U.S. government officials denied issuing any orders to restrict the service.
• Special envoy Steve Witkoff described Vladimir Putin as a humanitarian during a visit to Russia aimed at securing the release of a detained American citizen, remarks that prompted criticism from several Republican senators.

Read the full article at wsj.com

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