Zuckerberg claims ‘superintelligence is now in sight’ as Meta lavishes billions on AI
Whether it’s poaching top talent away from competitors, acquiring AI startups or proclaiming that it will build data centers the size of Manhattan, Meta has been on a spending spree to boost its artificial intelligence capabilities for months now.The massive splurge is paying off, according to Meta’s chief executive.In a new memo posted on Wednesday ahead of the company’s quarterly earnings report, Mark Zuckerberg, describes his ambitions for developing what he calls “superintelligence”.“Over the last few months we have begun to see glimpses of our AI systems improving themselves,” Zuckerberg wrote.“The improvement is slow for now, but undeniable.
Developing superintelligence is now in sight.”Wall Street investors are happy with the expensive course Zuckerberg is charting.After the company reported better-than-expected financial results for yet another quarter, its stock soared by double digits.Though Zuckerberg did not provide any details of what would qualify as “superintelligence” versus standard artificial intelligence, he did say that it would pose “novel safety concerns”.“We’ll need to be rigorous about mitigating these risks and careful about what we choose to open source,” he wrote.
Zuckerberg wrote that the company differs from other AI firms in that Meta aims to bring “personal superintelligence to everyone”.Other companies are focused on primarily using “superintelligence” for productivity and to automate “all valuable work”, he wrote.“The rest of this decade seems likely to be the decisive period for determining the path this technology will take, and whether superintelligence will be a tool for personal empowerment or a force focused on replacing large swaths of society,” he wrote.Investors are looking for signs that the parent company of WhatsApp, Instagram and Facebook is spending its billions efficiently.The social media company reported its second quarter earnings on Wednesday after the close of the New York stock exchange and beat investor expectations yet again sending stocks soaring 10%.
Analysts expect Meta will have to answer questions about whether the revenue the company is bringing in will help offset the hundreds of billions the firm is spending on recruiting and infrastructure, collectively known as capital expenditure.“AI-driven investments into Meta’s advertising business continue to pay off, bolstering its revenue as the company pours billions of dollars into AI ambitions like superintelligence,” said Minda Smiley, a senior analyst at Emarketer.“But Meta’s exorbitant spending on its AI visions will continue to draw questions and scrutiny from investors who are eager to see returns.”Meta reported $7.14 in earnings per share (EPS) on $47.
52bn in revenue, surpassing Wall Street expectations of $5.92 in earnings per share on $44.8bn in revenue.This quarter is the latest in the company’s multiple-quarter streak of exceeding Wall Street’s financial expectations despite enormous spending on AI.The company also said it expects to bring in $47.
5bn to 50,5bn in revenue in the third quarter of 2025,Zuckerberg provided few tangible updates in the memo, but one thing is clear: getting to this so-called higher level of intelligence will require a great deal of capital,Meta reported that the total costs and expenditures for the second quarter of 2025 came in at $27,07bn – up 12% year over year.
Capital expenditures for the quarter were $17.01bn.The company also provided updated guidance on how much the firm expects to spend in the next few months.Meta said it expected to spend between $114bn and $118bn in total expenses in 2025 – a slight adjustment from its previous projection of between $113bn and $118bn.Of that, Meta said it expected its capital expenditures to amount to somewhere in the range of $66bn and $72bn.
The company previously predicted it would spend between $64bn and $72bn which was increased from an even earlier prediction of $60bn to $65bn.Sign up to TechScapeA weekly dive in to how technology is shaping our livesafter newsletter promotionMeta is still in the process of planning for 2026, but said that it expected total expenses in the next year to increase beyond 2025 spending.“The largest single driver of growth will be infrastructure costs, driven by a sharp acceleration in depreciation expense growth and higher operating costs as we continue to scale up our infrastructure fleet,” the company said in a press release.“Aside from infrastructure, we expect the second largest driver of growth to be employee compensation as we add technical talent in priority areas and recognize a full year of compensation expenses for employees hired throughout 2025.”The company has been building out its new superintelligence labs team with talent from competing AI firms.
Meta first invested $14.3bn into Scale AI in exchange for a 49% stake in the company, and brought the startup’s CEO, Alexandr Wang, on as chief AI officer.Since then, several reports indicate Meta is attracting engineers and other employees away from firms like Apple, Github and several startups with huge compensation packages – including at least one that came in over $200m, according to Bloomberg.“To win the superintelligence race requires the best of the best talent and Meta has been on a roll when it comes to recruiting top AI talent,” said Forrester’s research director, Mike Proulx.“Money talks and Meta has plenty of it – reaching into the company’s deep pockets to lure luminaries from its competition with lavish compensation packages, while spending hundreds of billions on datacenters to power and scale its AI initiatives.
”While Reality Labs continues to be a small contributor to revenue, bringing in $370m in the second quarter, Zuckerberg remains bullish on the utility and longevity of its AI glasses.He compared wearing AI glasses with wearing contact lenses in that he would be at a cognitive disadvantage without them.“I personally think that if you don’t have glasses that have AI you will be at a cognitive disadvantage,” he said.“It is kind of what we have been maxing out with Reality Labs.”Advertising revenue, the company’s primary source of revenue, continues to grow.
Meta brought in $46.6bn in advertising revenue in the second quarter, up from $38.3bn for the same quarter in 2024.Meta chief financial officer, Susan Li, said on the investor call that the company does not expect WhatsApp, one of its newer sources of advertising, to be a “meaningful contributor” to overall growth of ad revenue for the next few years.“We also expect WhatsApp ads and status to earn a lower average price than Facebook or Instagram ads for the foreseeable future, due in part to WhatsApp’s skew toward lower monetizing markets and more limited information that can be used for targeting,” Li said.
Air fryer, slushie maker, food processor, two blenders … is my Ninja kitchen appliance habit out of control?
Almost unknown a decade ago, Ninja sold nearly $3bn worth of products last year – and a good chunk of them were to me. Are we getting value for money?I have a problem. It has spanned many years, cost me hundreds of pounds and earned the derision – and concern – of friends and family. Don’t worry: it isn’t anything sordid but it does give me an absurd number of ways to cook chicken or use up a bag of potatoes.My poison is Ninja appliances
One-pot wonders: the secret to campsite cooking | Kitchen aide
I am limited to one pan and a burner when I camp. What would chefs recommend making?Maxwell, by email Happy campers need supplies, and Ryan Cole, executive chef and co-owner of Salsify at The Roundhouse in Camps Bay, South Africa, doesn’t mess about. “We have three square boxes: one dedicated to dry goods, one to oil, salt, pepper and utensils, and the third to camping toiletries; we also have a dual compartment fridge-freezer.”Whatever your set-up, a considered mobile store-cupboard of spices, stock cubes, good oil, grains, pasta, tins of coconut milk and the like will really come into its own. Got tinned tomatoes? Make shakshuka for a campside breakfast
Picnic-perfect: Georgina Hayden’s greek salad tart
Everything about this tart screams summer, from the cheery lines of sliced tomato to the ribbons of lemony cucumber. Eat a slice, shut your eyes and you will instantly be transported to the Aegean. Bake the tart ahead of time, because it’s perfect served at room temperature. If I am taking it on a picnic, I like to tub up the cucumber ribbons separately, then squeeze over the lemon and crumble in the feta just before serving.Prep 10 min Cook 50 min Serves 6-8If you have any plant-based eaters in the mix, use a non-dairy puff pastry and omit the feta
Rukmini Iyer’s quick and easy recipe for halloumi, courgette and chickpea fritters | Quick and easy
Fritters are perfect for a crowd, because you can make them ahead and warm them through just before serving as a bite-sized snack. If the words “halloumi fritters” have your friends and family zooming towards a tray as quickly as mine, you might even want to double up on the quantities below. Unsurprisingly, these are also my children’s preferred way to eat courgettes.Prep 20 min Cook 20 min Makes 25+200g courgettes, trimmed and coarsely gratedSalt 200g halloumi, coarsely grated200g drained chickpeas (jarred, ideally), mashed with a fork40g plain flour 1 egg 4-5 tbsp olive oil 50g mayonnaise 50g greek yoghurt Juice of ½ lemon 10g chopped dillPut the grated courgette in a sieve with a pinch of salt, mix, then leave to sit for 10 minutes while you prep the other ingredients. Tip the courgette into a tea towel or kitchen roll, then squeeze it out to expel all the excess water
The one change that worked: I was a serious coffee addict. Now, on one cup a day, I feel so much better
I kicked my habit on a retreat. Now I savour my daily coffee dose, which clears my thoughts and gives me a sense of wellbeing‘A little bit of what you fancy” is a call for moderation that has never worked for me. Not for my coffee habit, at least, which slides from the steely resolve to drink just two cups a day, to a wobbly-willed four, five mugs, or more. I’m better at giving it up altogether. Total detox brings the high of self-control and the illusion that I have overcome the caffeine addiction, at least until I fall off the wagon again
Black chicken and green rice: Cynthia Shanmugalingam’s recipes for a Sri Lankan summer barbecue
In the 1990s, my cousin Sri Anna was a senior Sri Lankan policeman. Surprisingly for us, visiting from England, that meant he got a driver, a gun, a nice pad to live in and a team of sensational cooks to dish up various delicacies from wherever he was stationed. In the south, his favourite was black pork curry, and at my restaurant Rambutan we now make a marinade from similar spices for pineapple, beef and, my preference, chicken, before we grill it over coals. To lift it a little, the bird is finished with a quick fragrant oil of tempered spices and parsley (similar to the peppery island herb we call vallarai). You can eat it with or without the cool, green coconut rice and tomato sambol, which is my attempt to recreate a very tasty lunch I had at one of my favourite Colombo spots, Taste of Asia
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