Meta Creates Non-Voting Stock to Fund AI Push
Original: Meta wants to pay for its broad AI buildout with a newly created class of stock
Why This Matters
Non-voting stock lets Meta raise capital at scale without diluting founder control.
Meta confirmed plans to issue a new class of non-voting stock to fund its AI expansion, announced during Q3 2026 earnings, where revenue hit $64B—up 26% YoY—while costs surged 68%.
During its Q3 2026 earnings call, Meta confirmed it will create a new class of non-voting capital stock, distributed to existing shareholders as a stock dividend. CFO Susan Li said the shares are designed for 'capital raising, employee compensation, acquisitions, and other general corporate purposes,' while keeping voting power locked with existing Class A and B shareholders. The move preserves Meta's founder-led control structure—meaning Zuckerberg's grip stays intact—while opening a new funding channel for its aggressive AI spending.
Revenue came in at $64 billion, beating Wall Street expectations with 26% year-over-year growth. Costs, however, jumped 68% YoY. Reality Labs—the AR/VR division—expects losses between $18B and $19B, down slightly from 2025 levels.
Meta's AI product line has expanded rapidly under the 'Muse' brand, including Muse Spark, Muse Glimmer, Muse Wonder, Muse Code (a coding agent), and Muse Spark Open, an open-weight model. CEO Mark Zuckerberg said over 10 million users in the U.S. and Canada have set up personal Muse agents in just six weeks, with the app ranking number one in the App Store nearly every day.