Updated
Updated · The Motley Fool · Aug 2
Meta Eyes 1-Gigawatt Texas Compute Sales as 2026 Capex Reaches $145 Billion
Updated
Updated · The Motley Fool · Aug 2

Meta Eyes 1-Gigawatt Texas Compute Sales as 2026 Capex Reaches $145 Billion

3 articles · Updated · The Motley Fool · Aug 2

Summary

  • Meta said selling excess data center capacity is now a real business option, anchored by a 1-gigawatt Texas venture with BlackRock under its Meta Compute initiative.
  • Zuckerberg said buyers are offering a significant premium to Meta's build cost, suggesting the company could earn strong returns even as heavy infrastructure spending squeezed quarterly profit.
  • $130 billion to $145 billion in 2026 capital spending and $226 billion in net property and equipment give Meta the scale to turn even a small slice of spare capacity into tens of billions in revenue.
  • That would diversify a business still dominated by advertising, though Meta would enter a fiercely competitive cloud market where Google Cloud is near $99 billion annualized revenue and Microsoft and Amazon exceed $100 billion.

Insights

If Meta’s ads and engagement are already improving, how much more upside can AI deliver—and when will the payoff justify $145 billion in capex?
Can Meta’s soaring AI capex become a moat before shrinking free cash flow and investor patience turn against Zuckerberg’s compute-first bet?