Meta raised the target for its record equity offering from $95 billion to $97.5 billion on October 27, after the common stock tranche was reported heavily oversubscribed. Nvidia and AMD committed $4 billion between them as part of deeper AI partnerships. The money funds data centers and chips that power Meta's AI, including the ranking and creative systems advertisers buy through.
The numbers
According to Motley Fool and American Bazaar, the common stock portion grew from $22.5 billion to $25 billion, priced at $625 per share. Meta also priced $12.5 billion of mandatory convertible preferred shares. A further at-the-market program of up to $60 billion is planned once the new non-voting Class C shares start trading in early 2027.
- Total plan: $97.5 billion, up from $95 billion
- Nvidia: $3 billion; AMD: $1 billion
- 2026 capital spending guidance: $135 billion to $145 billion, up from $72.2 billion in 2025
- META closed October 27 at $620.19, down about 1.6%
Why chipmakers are in
American Bazaar reports that Meta will expand its use of Nvidia's Vera Rubin systems and Vera CPUs, and that the two companies will deepen work on Muse, Meta's AI agent. AMD's Helios racks are already running at Meta and its EPYC processors power Muse. Analysts quoted in the coverage expect investors to keep questioning the financing and any further raises.
Why it matters to advertisers
Meta's ad business is what pays for this. Q3 revenue grew 26% to $64.6 billion, and a large share of the new compute goes into ad ranking, Advantage+ automation and generative creative tools. Expect Meta to keep pushing advertisers toward automated campaigns and AI creative, because that is where it needs to show a return.
For buyers, that usually means more defaults switched on for you, more AI-made variations of your ads, and more changes rolled out with short notice. It also means Meta has every reason to keep auction prices firm while ad demand holds up.
What to do
Nothing changes in Ads Manager today. The practical move is to keep a close watch on defaults and notices, since recent weeks brought product browsing, Threads placements and Pixel changes switched on automatically. Budget for continued CPM pressure into Q4 and keep a clean testing structure so you can measure what Meta's automation is actually adding.
What it means for you
- Meta is doubling down on AI spend; expect more automation defaults in Ads Manager
- Review new notices weekly and opt out of auto-enabled features you have not tested
- Plan Q4 budgets assuming firm or rising CPMs
- Keep holdout or A/B tests running to judge AI features on your own data
Sources
- Motley Fool: Meta raises largest-ever equity offering to nearly $98 billion
- American Bazaar: Meta raises AI fundraising plan to $97.5 billion as Nvidia, AMD pledge investments
