What just happened? It seems that spending up to $145 billion in a year requires some extra fundraising, even when you're Meta. The Facebook parent plans to raise approximately $95 billion to support its AI infrastructure and superintelligence ambitions. The announcement comes just after Elon Musk warned that many smaller companies riding the same boom are heading for extinction.

Meta launched roughly $35 billion in offerings on Monday, comprising $22.5 billion in Class A common stock and $12.5 billion in securities representing mandatory convertible preferred stock.

Reuters reports that a separate $60 billion share-sale program would follow once its new nonvoting Class C shares begin trading, expected in early 2027.

The later program would sell shares into the market over time, and the company says no agreement has been signed. Its final timing, size and terms remain undetermined.

Some familiar names are interested in purchasing some of the shares. Nvidia, AMD and Broadcom have indicated interest in buying up to $5 billion worth collectively. Meta shares rose 1.6% in premarket trading following the announcement.

Investors were less enthusiastic about last week's earnings. Third-quarter revenue climbed 26% to $64.6 billion, beating expectations, but attention turned to negative free cash flow and a higher spending forecast. Meta now expects annual capital expenditure of $135 billion to $145 billion, raising the lower end by $5 billion.

It comes as little surprise to learn that the money will support Meta's AI infrastructure buildout. The company says it is building four superclusters with more than one gigawatt of capacity each and expects to nearly double its total infrastructure capacity in 2026.

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