{"id":20789,"date":"2025-01-30T15:43:56","date_gmt":"2025-01-30T13:43:56","guid":{"rendered":"https:\/\/forklog.com\/en\/meta-to-maintain-high-ai-spending-despite-deepseek-concerns\/"},"modified":"2025-01-30T15:43:56","modified_gmt":"2025-01-30T13:43:56","slug":"meta-to-maintain-high-ai-spending-despite-deepseek-concerns","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/meta-to-maintain-high-ai-spending-despite-deepseek-concerns\/","title":{"rendered":"Meta to Maintain High AI Spending Despite DeepSeek Concerns"},"content":{"rendered":"<div class=\"wp-block-text-wrappers-keypoints article_keypoints\">\n<ul class=\"wp-block-list\">\n<li>Mark Zuckerberg intends to maintain high spending on artificial intelligence despite the buzz around DeepSeek&#8217;s affordability.<\/li>\n<li>Meta records unprecedented losses in its metaverse division.<\/li>\n<li>Overall, the company released a favourable financial report.<\/li>\n<\/ul>\n<\/div>\n<p>Meta&#8217;s CEO, Mark Zuckerberg, has pledged to sustain high expenditure on artificial intelligence, despite the panic caused by the AI model DeepSeek. The commitment involves &#8220;hundreds of billions&#8221; in the long term, according to <a href=\"https:\/\/techcrunch.com\/2025\/01\/29\/zuck-shrugs-off-deepseek-vows-to-spend-hundreds-of-billions-on-ai\/\">TechCrunch<\/a>.<\/p>\n<p>On January 24, Zuckerberg <a href=\"https:\/\/www.reuters.com\/technology\/meta-invest-up-65-bln-capital-expenditure-this-year-2025-01-24\/\">stated<\/a> that by the end of 2025, Meta will have 1.3 million graphics processors for artificial intelligence. The company plans to invest $60-80 billion in AI. However, the recent emergence of the DeepSeek AI model has raised questions about the viability of such large investments in costly equipment.<\/p>\n<p>The Meta CEO emphasized that spending on AI infrastructure remains a strategic advantage for the company. It is premature to discuss a decline in chip demand due to DeepSeek, he believes. They remain crucial for outputs.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>&#8220;At this point, I am willing to bet that the ability to create such infrastructure will become a significant advantage both for service quality and for the ability to serve users at the scale we desire,&#8221; Zuckerberg stressed.<\/p>\n<\/blockquote>\n<p>He added that the corporation&#8217;s next neural network, Llama 4, will be among the most competitive globally, offering agent and multimodal capabilities.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>&#8220;Our goal with Llama 3 was to make open source competitive with closed models. For Llama 4, it is to become a leader,&#8221; he concluded.<\/p>\n<\/blockquote>\n<p>The company has completed training a smaller version of Llama 4 and is now working on a larger model.<\/p>\n<h2 class=\"wp-block-heading\"><strong>Record Metaverse Losses<\/strong><\/h2>\n<p>Meanwhile, Meta&#8217;s virtual and augmented reality division, Reality Labs, continues to incur losses. In the fourth quarter, expenses <a href=\"https:\/\/www.cnbc.com\/2025\/01\/29\/metas-reality-labs-posts-5-billion-loss-in-fourth-quarter.html\">reached<\/a> a record $4.97 billion.<\/p>\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/lh7-qw.googleusercontent.com\/docsz\/AD_4nXedPmlDQba9IFAswBWpIPt1QWwVLaXAtwZGJHhEs2XmU7flXgHp9-BbPa5XuKa0hLD8RLnr1_pnAp-XK9XQXlzky683iCzPY2pkq027K6Be3RDuw8kx5-43-BvqesxsV5Viv-w-nA?key=FIhfHOqYKAazBR_nhuN28A-t\" alt=\"Meta to Maintain High AI Spending\"\/><figcaption class=\"wp-element-caption\">Quarterly loss dynamics of Reality Labs. Data: CNBC.<\/figcaption><\/figure>\n<p>Since 2020, the division&#8217;s operating losses have exceeded $60 billion. Previously, Zuckerberg noted that artificial intelligence plays a key role in the strategy of creating the metaverse.<\/p>\n<p>In October 2021, Facebook underwent a major rebranding, renaming itself Meta and announcing a shift in focus from social networks to developing the metaverse with VR and AR headsets.<\/p>\n<h2 class=\"wp-block-heading\"><strong>Overall Report<\/strong><\/h2>\n<p>Overall, Meta&#8217;s financial report <a href=\"https:\/\/www.cnbc.com\/2025\/01\/29\/meta-q4-earnings-report-2024.html\">exceeded<\/a> expectations:<\/p>\n<ul class=\"wp-block-list\">\n<li>Earnings per share were $8.02 compared to the expected $6.77;<\/li>\n<li>Revenue reached $48.39 billion versus the anticipated $47.04 billion.<\/li>\n<\/ul>\n<p>Sales in the fourth quarter grew by 21% year-on-year, while net profit rose by 49% to $20.8 billion compared to $14 billion the previous year.<\/p>\n<p>The number of monthly active users of the Meta AI chatbot exceeded 700 million. Zuckerberg predicts this figure will reach 1 billion by 2025. He also anticipates a more favourable attitude towards the company from the government.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>&#8220;We now have a U.S. administration that is proud of our leading companies, prioritizes the victory of American technologies, and will defend our values and interests abroad. I am optimistic about the progress and innovation this can unlock,&#8221; he noted.<\/p>\n<\/blockquote>\n<p>Back in November, Meta <a href=\"https:\/\/forklog.com\/en\/news\/us-military-gains-access-to-metas-ai\">provided<\/a> its AI technologies to U.S. government agencies and defense contractors.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Mark Zuckerberg intends to maintain high spending on artificial intelligence despite the buzz around DeepSeek&#8217;s affordability. Meta records unprecedented losses in its metaverse division. Overall, the company released a favourable financial report. Meta&#8217;s CEO, Mark Zuckerberg, has pledged to sustain high expenditure on artificial intelligence, despite the panic caused by the AI model DeepSeek. The [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":20788,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[438,1293,1353,1150],"class_list":["post-20789","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-artificial-intelligence","tag-meta","tag-metaverses","tag-news-plus"],"aioseo_notices":[],"amp_enabled":true,"views":"33","promo_type":"","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/20789","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=20789"}],"version-history":[{"count":0,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/20789\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/20788"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=20789"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=20789"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=20789"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}