Tech
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Jon Keegan

Zuckerberg: Meta building city-sized AI data center, going on $65 billion spending spree

The future of AI will be measured in gigawatts, GPUs, and the square mileage of your data centers.

Today Meta CEO Mark Zuckerberg announced that the company will be going big on capital expenditures this year, planning to spend up to $65 billion in 2025.

According the map Zuckerberg shared, the data center would occupy approximately 4.3 square miles (about 120 million square feet), an area that would cover a “significant part of Manhattan.”

In addition to the Richland Parish, Louisiana, supersized data center, Zuckerberg said the company will be able to fill it with powerful hardware:

“We’ll bring online ~1GW of compute in ’25 and well end the year with more than 1.3 million GPUs.”

All of the Big Tech companies and AI startups have been in a bit of a measuring contest to see who has the largest number of powerful Nvidia GPUs, which are used for training and running AI services.

Zuckerberg teased the company’s upcoming Llama 4 AI model, saying he expected it would start contributing “increasing amounts of code to our R&D efforts.” Meta recently announced it would be laying off about 5% of its workforce, focused on the “lowest performers” in preparation for what Zuckerberg warned employees would be “an intense year.”

Meta’s massive capex outlay comes as the Trump administration is signaling to the AI industry that it wants the US to dominate the field and is throwing its support behind large AI infrastructure projects like the recently announced “Project Stargate” joint venture between Oracle, OpenAI, and SoftBank.

According the map Zuckerberg shared, the data center would occupy approximately 4.3 square miles (about 120 million square feet), an area that would cover a “significant part of Manhattan.”

In addition to the Richland Parish, Louisiana, supersized data center, Zuckerberg said the company will be able to fill it with powerful hardware:

“We’ll bring online ~1GW of compute in ’25 and well end the year with more than 1.3 million GPUs.”

All of the Big Tech companies and AI startups have been in a bit of a measuring contest to see who has the largest number of powerful Nvidia GPUs, which are used for training and running AI services.

Zuckerberg teased the company’s upcoming Llama 4 AI model, saying he expected it would start contributing “increasing amounts of code to our R&D efforts.” Meta recently announced it would be laying off about 5% of its workforce, focused on the “lowest performers” in preparation for what Zuckerberg warned employees would be “an intense year.”

Meta’s massive capex outlay comes as the Trump administration is signaling to the AI industry that it wants the US to dominate the field and is throwing its support behind large AI infrastructure projects like the recently announced “Project Stargate” joint venture between Oracle, OpenAI, and SoftBank.

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Meta’s reported 20% layoff could bring headcount to its lowest level since 2021

Meta is rising Monday morning after Reuters reported the tech giant is planning to lay off 20% of its employees in an effort to use AI to make its workforce more efficient and offset its surging AI capex costs.

On the company’s last earnings call, CEO Mark Zuckerberg touted 30% efficiency gains for its software engineers and said some “power users” of the company’s AI coding tools saw productivity jump as high as 80% — what some saw as a veiled threat to employees who failed to use AI to boost their output.

Meta’s headcount was nearly 79,000 last quarter, having steadily risen since its layoffs during the self-described “year of efficiency” in 2023. A 20% cut would bring headcount to around 63,000 — the company’s lowest level since 2021.

Shares were recently up 2.7%.

Meta’s headcount was nearly 79,000 last quarter, having steadily risen since its layoffs during the self-described “year of efficiency” in 2023. A 20% cut would bring headcount to around 63,000 — the company’s lowest level since 2021.

Shares were recently up 2.7%.

tech

Report: Amid safety failures, ChatGPT’s planned “adult mode” caused concern within OpenAI, with minors misclassified as adults 12% of the time

Despite a series of alarming mental health safety failures that resulted in ChatGPT users allegedly using the product to plan suicides and murder, OpenAI decided to double down on its plan to roll out an “adult mode,” allowing the AI chatbot to produce erotic content.

That decision raised alarms within the company, warning that users could develop unhealthy emotional dependence on the chatbot and that the new age estimation feature was imperfect — and therefore likely to allow minors to access the feature — according to a new report from The Wall Street Journal. Per the report, some 12% of the time, the age estimation feature mistakenly classified minors as adults.

OpenAI’s council of mental health experts were “furious” and unanimous in their opposition to the plans to move forward with the adult mode feature after they were told about the decision in January, with concerns about creating a “sexy suicide coach.”

Earlier this month, the company said it would delay the new feature to focus on other products.

That decision raised alarms within the company, warning that users could develop unhealthy emotional dependence on the chatbot and that the new age estimation feature was imperfect — and therefore likely to allow minors to access the feature — according to a new report from The Wall Street Journal. Per the report, some 12% of the time, the age estimation feature mistakenly classified minors as adults.

OpenAI’s council of mental health experts were “furious” and unanimous in their opposition to the plans to move forward with the adult mode feature after they were told about the decision in January, with concerns about creating a “sexy suicide coach.”

Earlier this month, the company said it would delay the new feature to focus on other products.

tech
Rani Molla

Amazon raises the price for ad-free Prime Video to $4.99

Amazon is giving consumers more — for more. The e-commerce giant is raising the price of its ad-free Prime Video tier to $4.99 a month, up from $2.99.

On April 10, the service, now rebranded as Prime Video Ultra, will allow more concurrent streams (five instead of three) and up to 100 downloads, up from 25. Ad-free Prime Video had been included with a Prime membership until 2024, when Amazon added ads and began charging $2.99 a month to remove them.

For what it’s worth, ad-free Prime Video is still cheaper than the other increasingly expensive streaming services — if you don’t include the cost of Prime.

For what it’s worth, ad-free Prime Video is still cheaper than the other increasingly expensive streaming services — if you don’t include the cost of Prime.

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