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Jan. 24, 2025, 9:30 p.m.
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Meta CEO Mark Zuckerberg Announces New Data Center for AI Model Llama 4 in Louisiana

Brief news summary

Meta CEO Mark Zuckerberg has unveiled a significant $60 billion investment in a new data center located in Louisiana, which will support the anticipated launch of the Llama 4 AI model later this year. This massive facility is expected to be comparable in size to a substantial portion of Manhattan. Zuckerberg believes that 2025 will be pivotal for AI development, with Meta AI projected to exceed 1 billion users, largely driven by Llama 4. To bolster its research and development, Meta plans to recruit an AI engineer. The company expects its capital expenditures to rise to $38-40 billion in 2024, but Zuckerberg reassured investors that Meta is equipped to manage these expenses. This investment aligns with a broader trend of escalating AI investments, including initiatives like Trump’s Project Stargate, which aims to enhance AI infrastructure in partnership with firms such as OpenAI. Additionally, a recent executive order from Trump aims to accelerate AI advancements in the U.S. The new data center will significantly increase Meta's GPU resources, expanding its inventory to over 1.3 million units, including a recent acquisition of 350,000 H100 graphics cards from Nvidia, underscoring Meta's commitment to advancing AI technology.

Meta CEO Mark Zuckerberg revealed on Friday that the company is set to construct a large-scale data center in Louisiana to support its upcoming AI model, Llama 4, which is slated for release this year. In a Facebook post, Zuckerberg announced that Meta plans to invest over $60 billion in AI initiatives, including the construction of the data center, which he described as being “so large it would cover a significant part of Manhattan. ” He stated, “This will be a defining year for AI. By 2025, I anticipate that Meta AI will emerge as the leading assistant, catering to over 1 billion users. Llama 4 is expected to be the preeminent state-of-the-art model, and we will develop an AI engineer that will significantly contribute to our R&D efforts through increased coding. ” This initiative represents a considerable increase in Meta’s capital expenditures, which were estimated to be around $38 billion to $40 billion in 2024, according to Susan Li, Meta’s CFO. Zuckerberg reassured that, despite these substantial investments, the company is “well-positioned to continue investing in the coming years. ” The announcement coincides with a notable rise in AI investments, highlighted by President Donald Trump’s recent introduction of Project Stargate— a joint venture in AI infrastructure involving OpenAI, Oracle, and Softbank— which could potentially gather up to $500 billion in investments over the next four years. This project has garnered attention from other prominent tech leaders, including SpaceX and Tesla CEO Elon Musk, who responded to an X post regarding the initiative by suggesting that “they don’t actually have the money, ” sparking a dispute with OpenAI CEO Sam Altman. AI technology remains a focal point for numerous tech firms as the popularity of AI models from organizations such as OpenAI, Meta, and Anthropic continues to grow.

Nvidia, known for its graphics processing units (GPUs)— the specialized chips essential for AI model training— achieved one of the highest market capitalizations in 2024, currently valued at around $3. 6 trillion. Additionally, Trump signed an executive order on Thursday aimed at propelling AI technology advancements in the U. S. The order seeks to eliminate policies that hinder “American AI innovation” and promote the development of “AI systems free from ideological bias or engineered social agendas. ” In his announcement on Friday, Zuckerberg reiterated his expectation that “Meta AI will serve over 1 billion people as the leading assistant” and that “Llama 4 will set the standard as the preeminent model. ” With the addition of the new data center, he projected that Meta would end the year with over 1. 3 million GPUs. Last January, Zuckerberg mentioned that Meta planned to acquire 350, 000 H100 graphics cards from Nvidia, a substantial deal worth billions of dollars.


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