Meta Platforms is trying to raise $29 billion from private capital companies to build artificial intelligence data centers in the United States, Financial Times reported Friday.
Facebook-Parent has high-level discussions with private credit investors such as Apollo Global Management, KKR, Brookfield, Carlyle and Pimco. The report quotes people who are familiar with the issue.
Meta aims to raise $3 billion in equity and $26 billion in debt, the report said, adding that the company is discussing how it will build debt raises and may try to raise more capital.
Such funding comes when Meta doubles its commitment to artificial intelligence, including a $14.8 billion investment in startup scale AI.
Meta CEO Mark Zuckerberg said in January that the company will spend as much as $65 billion this year to expand its AI infrastructure, sought to strengthen its competitors and Google in a leading AI technology landscape race.
Mehta and Carlyle declined to comment, but Apollo Global, KKR, Brookfield and Pimco did not immediately respond to Reuters' request for comment.
Meta worked with an advisor at Morgan Stanley to arrange funding and was considering ways to make it easier to trade debts when it issuing debts, the FT report said.
Large tech companies are investing heavily to secure the enormous computing power needed to run AI models, increasing the demand for specialized data centers that link thousands of chips to high-performance clusters.
Microsoft plans to spend $80 billion in capital in fiscal year 2025, most of which aims to expand its data centers to facilitate bottlenecks in AI services capacity.
Bloomberg News reported in February that Apollo Global Management is in talks to lead Meta's roughly $35 billion funding package to help develop data centers in the US.
