Facebook parent Meta projects sharp acceleration in AI costs after results beat Wall Street targets

Akash Sriram - Reuters - 30/10
Facebook owner Meta Platforms beat analysts' estimates for third-quarter revenue and profit on Wednesday, but warned of "significant acceleration" in infrastructure expenses related to its artificial-intelligence buildout, sending mixed signals about whether higher digital ad sales from its core social media business would continue to cover its massive AI investments.
Oct 30 (Reuters) - Facebook owner Meta Platforms (META.O), opens new tab beat analysts' estimates for third-quarter revenue and profit on Wednesday, but warned of "significant acceleration" in infrastructure expenses related to its artificial-intelligence buildout, sending mixed signals about whether higher digital ad sales from its core social media business would continue to cover its massive AI investments.
Shares of the Menlo Park, California-based firm fell 2.5% in after-hours trading.
The world's biggest social media company reported third-quarter profit of $6.03 per share, compared with estimates of $5.25 per share, according to data compiled by LSEG. Third-quarter revenue stood at $40.59 billion, compared with analysts' estimates of $40.29 billion.
The company also forecast between $45 billion and $48 billion in fourth-quarter revenue, compared with analysts' estimates of $46.31 billion, according ...
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