Meta projects capital expenditures of $130 billion to $145 billion for 2026, nearly doubling from the $72 billion spent in 2025. Over $100 billion will be directed toward AI infrastructure, including data centers, custom silicon chips, and energy contracts. The company has secured 6.5 gigawatts of nuclear power agreements through 2035, including the Prometheus site in Ohio exceeding 1 gigawatt and the Hyperion project in Louisiana scaling to 5 gigawatts. This strategy reflects a broader sector trend, with the five largest US cloud and AI infrastructure providers collectively guiding toward $660 billion to $690 billion in 2026 capex. The sharp decline in free cash flow in Q2 2026 raises questions about the return on these massive investments.
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