Meta Q2 Ad Revenue Climbs 21% on AI Investment

Meta reported a 21% year-over-year increase in Q2 ad revenue to $46.6 billion, crediting AI-powered advertising improvements and generative AI features used by nearly 2 million advertisers. CEO Mark Zuckerberg highlighted a $14.3 billion investment in Scale AI and the formation of an AI Superintelligence team as part of Meta's intensified focus on AI. The company raised its 2025 expense forecast to $114–$118 billion, citing infrastructure expansion and competitive pay for top AI talent. Despite higher expenses, Meta's strong core ad business and a robust Q3 revenue forecast—midpoint exceeding analyst expectations—have reassured investors, leading to a surge in shares. Meta is also gradually rolling out ads on WhatsApp and leveraging personalized AI systems for deeper user engagement. The company's aggressive AI investments are viewed as crucial to maintaining leadership and driving future revenue growth.