Meta Spending Spree Recalls Metaverse Debacle That Crushed Stock

The huge checks Meta Platforms Inc. is writing to support its artificial intelligence ambitions are reminding some investors of the massive metaverse outlays that crippled the stock just a few years ago.

Facebook’s parent posted results last week that beat expectations on key metrics. But Wall Street’s focus was on capital expenditures, which the company said would be as much as $72 billion this year and “notably larger” in 2026. Then, on the earnings call, Chief Executive Officer Mark Zuckerberg downplayed concerns that Meta might be over-spending on things like its Superintelligence Labs group, saying “it’s the right strategy to ...