Mark Zuckerberg reveals thoughts of Deepseek as Meta’s AI expenses under control

Meta Platforms’ revenue in the fourth quarter beat Wall Street expectations on Wednesday, but the company predicted that sales in the current first quarter do not meet forecasts that send mixed signals about how efforts on expensive artificial intelligence -driven tools pay.

The Facebook and Instagram moder company expects revenue from the first quarter of between $ 39.5 billion and $ 41.8 billion compared to analysts’ average estimation of $ 41.72 billion, according to data prepared by LSEG.

Meta shares were flat after the market was closed, but Rose when CEO Mark Zuckerberg talked optimistically about Meta’s AI initiatives and the company’s belief that Open Source AI is the right strategy after a Chinese company launched Deepseek Open Source AI that fueled global markets.

“There’s an open source standard globally,” Zuckerberg said at a conference interview. “It’s important that it’s an American standard.”

The forecast raised fresh questions about meta’s capital costs. The company depends on its central social media ads to cover the costs of its AI ambitions and investments in “Metaverse” technologies such as smart glasses and augmented reality systems.

Last week, Zuckerberg announced that Meta is planning capital costs of up to $ 65 billion in 2025 to expand his AI infrastructure while increasing the employment of AI roles.

On Wednesday, Meta said it expected the total expenditure of 2025 would be in the range of $ 114 billion to $ 119 billion, up from a total of $ 95 billion by 2024.

“Meta’s gangbusters Q4 results clearly show that ad revenue remains the company’s life nerve. That said, the biggest question that goes into 2025 is not about today’s earnings – it’s about whether Mark Zuckerberg’s $ 60-65 billion AI infrastructure prayer will pay off, ”said Jeremy Goldman, rector analyst at Emarketer.

Family Daily Active People (DAP), a metric meta uses to track unique users opening one of its apps in one day, rose approx. 5% from one year earlier to 3.35 billion.

Meta’s results come after the Chinese start -up Deepseeks launch of its latest AI models triggered a sales in global tech shares on Monday on concern for rising AI costs in the United States.

Deepseek has said the models either match or transition the top US rivals to a fraction of the costs, including Meta’s own Llama models, and challenges the prevailing view that scaling AI requires huge computing power and investment.

Zuckerberg said it was too early to tell how Deepseek’s emergence will globally affect Meta’s investment and capital costs.

But what is clear is the lessons that the new company could incorporate into meta products. “There are a number of things that they have progress that we hope to implement in our systems,” Zuckerberg said, addressing questions about Deepseek.

The breakthrough could increase the study from investors who are concerned about the company’s heavy expenses for AI, although it can also benefit meta if it successfully reduces the cost of building and supporting the models.

Meta-among the best buyers of Nvidia’s demanded AI-chips sights against ending the year with over 1.3 million graphics processors (GPUs) and bringing 1 Gigawatt Computer Power online, Zuckerberg said on Friday in a Facebook post outlined The Company’s 2025 Dimensions.

He said this month that Meta would dismiss 5% of its “lowest artists” and warned employees of more such job cuts this year to raise performance.