Meta is intensifying its AI push with Muse, its new AI agent. Muse has surpassed 5 million downloads in its first few weeks.
Meta is giving users 100 million free tokens per week. Its advertising revenue allows it to subsidize the compute costs, an offer competitors such as OpenAI and Anthropic cannot afford to match.
Meta expects 2026 capital expenditures of $130 billion to $145 billion, largely to build out its AI infrastructure. Analysts say the spending could pressure profitability. Meta's second-quarter earnings per share missed estimates as expenses surged.
Analysts view Muse's early adoption as a positive step in Meta's AI pivot. However, they remain cautious about Meta's historically slow pace of monetizing new products and potential privacy concerns tied to the AI agent.