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Meta ran out of money and had to borrow from Microsoft and Amazon to develop AI.

Facebook's parent company actively sought help from Microsoft and Amazon to share the training costs for the Llama model.

ZNewsZNews22/04/2025

Meta CEO Mark Zuckerberg. Photo: Reuters .

The Information , citing four sources close to the matter, revealed that Meta is actively seeking help from tech giants like Microsoft and Amazon. The company hopes to partner with them to share the training costs for its LLama language model.

Sources also suggest that this move by the founder of Facebook reflects the company's deep concern about the rising cost of AI development.

To attract financial support, Meta has offered a series of incentives, including inviting investors to participate in the development of Llama's features. It remains unclear whether these proposals will progress successfully.

According to sources, when Meta first introduced the "Llama Alliance" concept, the company did not receive the enthusiastic response it had hoped for. Several companies objected to helping Meta train on an open-source model. The reason was that Llama was free to use and that contributing capital would yield almost no return.

Furthermore, in terms of its business model, Meta's profit structure is quite fragmented. While Microsoft and Google charge fees for users' use of AI chatbots, Meta's business relies almost entirely on advertising.

Meanwhile, AI development costs continue to rise. In 2024, Meta's operating cash flow reached $91.3 billion , of which $39 billion was for capital expenditures and $35 billion for share buybacks and dividends. In 2025, the company expects capital expenditures to increase by 60%, reaching $60-$65 billion .

According to estimates from S&P Global Market Intelligence analysts, this size accounts for approximately one-third of Facebook's parent company's projected revenue this year.

Source: https://znews.vn/meta-can-tien-phai-vay-microsoft-amazon-de-lam-ai-post1547916.html


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