Kurt Wagner

Meta's forecasting between $115 and $135 billion today.

But again, if you are a believer in this sort of AI world that we're living in right now, that's an exciting thing.

I mean, this is a company that is going absolutely full steam ahead into AI.

And I think those numbers reflect that.

How about just last quarter?

quarter.

This is exactly what we talked about in Q3.

They didn't have these specific numbers, but they basically said, hey, our CapEx is going to increase meaningfully in 2026.

The stock went down 14%.

Everyone was very concerned with this added spending.

And yet today, when the numbers come out and they're higher than estimates, estimates is presumably built in that commentary from last quarter.

It doesn't seem to be as much of a problem.

My guess is that they are seeing

You know, this Q1 revenue, for example, which is going to come in two, three, four billion dollars higher than expected.

They're just seeing this ads business that is completely churning money out.

And so if you feel that you have the money coming in, maybe you stomach those higher numbers than you would have expected.

Yeah.

Yeah, I mean, my guess is that we're going to jump on this earnings call here in a minute or two, and you're going to hear the company talk a lot about how AI is impacting the ads business, because that's what they need to do to sell this right now, right?

It's hard to say.

It is in part because you see that rise in average cost per ad.