The tech giant is upping their estimate of capital expenses and expects the increase to continueas it invests "aggressively" in "AI research and product development efforts."
The expenses are expected to be roughly $5 billion more than the original estimate, reaching between $35 and $40 billion. The original prediction was between $30 billion and $37 billion.
Meta's minimum estimate for full-year 2024 total expenses will also be $2 billion higher than expected.
"We expect full-year 2024 total expenses to be in the range of $96-99 billion, updated from our prior outlook of $94-99 billion due to higher infrastructure and legal costs," the report said.
The increase isn't just coming from AI. It's also coming from product development and legal costs.
Meta is currently facing ongoing legal issues, including an antitrust lawsuit and being sued by 33 states who claim the tech giant is negatively impacting children's mental health.
The company alsoexpects significant increases in Reality Labs' operating losses due to "ongoing product development efforts" and investments to scale its ecosystem, according to the report.
Reality Labs is a division of Meta that focuses on human-computer products through virtual reality headsets and augmented reality glasses.
Max Willens, senior analyst at market research firm Emarketer, a sister company to Business Insider, said it's not surprising that Meta changed its guidance.
"Companies investing in this space, especially at the scope Meta is investing in it, may struggle with costs in the near term," Willens said.
Michael Cohen said he would briefly stop talking about Donald Trump during Trump's Manhattan criminal trial.
Cohen is a key witness to what prosecutors allege was a scheme to falsify business records to cover up hush money.
But until now, Cohen has continued to talk about Trump and the case.
Michael Cohen, Donald Trump's ex-personal attorney, has now pledged to stop talking about the former president until after his testimony in the former president's ongoing hush-money trial over.
"Despite not being the gagged defendant, out of respect for Judge Merchan and the prosecutors, I will cease posting anything about Donald on my X (formerly Twitter) account or on the Mea Culpa Podcast until after my trial testimony," Cohen wrote on X.
Cohen's loquaciousness about his time as a fixer for Trump should be legendary. He has a book and a podcast and is a frequent guest on cable TV — all will the goal of furthering his quest for redemption after his time working for Trump.
As Trump's personal attorney, Cohen is at the core of what New York prosecutors allege was an effort to falsify business records to cover for hush money paid to adult film star Stormy Daniels ahead of the 2016 presidential election. Cohen was also a major witness in Trump's fraud trial.
Unlike Trump, Cohen is not under a gag order. But legal experts have been dismayed at how Cohen continued to talk about the case, potentially providing Trump's lawyers with additional ammunition for their cross-examination during Cohen's expected testimony.
The former president has also attacked Cohen, one of a series of actions that prosecutors argued violated Judge Juan Merchan's gag order on Trump. Merchan upbraided Trump's attorney on Tuesday when considering the former president's statements but has yet to release a ruling on where the gag order stands.
Cohen is already likely to have a rough time on the stand during the trial.
He was sentenced to prison for lying to Congress and other offenses.
Trump has repeatedly attacked Cohen's credibility — including noting that Cohen is now a convicted liar.
The former president doesn't mention, though, that Cohen was convicted of lying to Congress about something that was supposed to help Trump.
House Speaker Mike Johnson (left) and Columbia University President Nemat "Minouche" Shafik (right).
Win McNamee, Alex Wong/Getty Images
House Speaker Mike Johnson wants Columbia University's President out.
Johnson and other House Republicans have criticized her handling of campus protests and antisemitism.
Pro-Palestinian student protests have been roiling Columbia's campus since last week.
House Speaker Mike Johnson wants Columbia University's president to resign, calling her "inept" and "weak."
Johnson, who is visiting Columbia on Wednesday, has railed against Nemat "Minouche" Shafik's handling of pro-Palestinian student protests and antisemitism on campus following Hamas' October 7 attack on Israel and Israel's subsequent war in Gaza.
Upon his arrival to campus Wednesday evening, Johnson was greeted by a crowd that booed and heckled him, while a few cheered, according to an Axios reporter who posted a video to X.
Though Johnson does not have the power to directly oust a college president, similar calls from political figures have fueled recent resignations.
"What we're seeing on these college campuses across the country is disgusting and unacceptable," Johnson said on "The Hugh Hewitt Show" on Wednesday. "Every leader in this country, every political official, every citizen of good conscience has to speak out and say that this is not who we are in America, and we have got to have accountability."
"It's unconscionable," Johnson added. "This president, Shafik, is shown to be a very weak, inept leader. They cannot even guarantee the safety of Jewish students? They're expected to run for their lives and stay home from class? It's just, it's, it's maddening."
Columbia students began camping out on campus last week to protest Israel's war in Gaza, arguing that the country is committing genocide against the Palestinian people. They're also demanding that the university divest from companies that support Israel.
As the protests were ramping up,Shafik testified to Congress, where she took a much stronger stance against antisemitism than her college president peers had done at their hearing months before. When Congress asked Harvard's Claudine Gay, for example, whether students calling for a Jewish genocide would violate university policies, she answered with, "It can be, depending on the context."
On the second day of protests, Shafik called in the NYPD, which arrested more than a hundred pro-Palestinian student protesters on suspicion of trespassing. The protests have continued in the days since, with some student groups saying Jewish students have been targeted with offensive, antisemitic rhetoric on campus.
In response to the ongoing campus unrest, House Republicans have been threatening to withdraw federal funding from Columbia and other schools experiencing similar protests, arguing that they've failed to protect Jewish students' safety.
"We're going to call on educational institutions like Columbia, if you cannot control what is happening at your university, if the president at this university is failing to keep students safe, then she shouldn't be eligible for any federal aid coming into this university," NY Republican Rep. Anthony D'Esposito said on Monday after visiting campus, according to The Washington Post.
Johnson echoed those calls on "The Hugh Hewitt Show" on Wednesday, adding that the visas of protesting students can be revoked.
Johnson is scheduled to meet with Columbia Jewish students and the university's Rabbi Yuda Drizin on Wednesday before holding a press conference where he and other House Republicans are expected to formally call for Shafik's resignation, The Washington Post reported.
"The decibel of our disagreements has only increased in recent days," Shafik wrote in a statement on Monday following her decision to call NYPD to campus. "These tensions have been exploited and amplified by individuals who are not affiliated with Columbia who have come to campus to pursue their own agendas. We need a reset."
Representatives for Shafik did not immediately respond to BI's request for comment.
Chew responded to the latest moves in a video posted by the official TikTok account. "Make no mistake, this is a ban," Chew said in the video. "A ban on TikTok and a ban on you and your voice."
The clip has over four million views as of Wednesday afternoon, and the comments show that users aren't ready to say goodbye to TikTok anytime soon.
Many expressed support for Chew, whose call to action hints at the pressure building against TikTok and its Chinese owners, Bytedance.
"I trust you with my life," one comment read.
Others credited the platform for helping users find "their voice and livelihood" and providing "a sense of community here that we don't have anywhere else."
Meanwhile, some reminisced about what they learned on the app, from restaurant recommendations to beauty product reviews.
"bro i learned how to change my air filters for my car and how to do an oil change," a commenter said.
Despite Chew's defiant video and the growing outrage from the app's users, a TikTok ban won't happen in the immediate future.
Bytedance has nine months to a year to find a buyer for TikTok — and that's only if the bill holds up in court.
Selena Gomez attends a Rare Beauty event in Beverly Hills, California.
Stefanie Keenan/Getty Images
Selena Gomez has shut down rumors that she's looking to sell her makeup brand, Rare Beauty.
The line has been valued at $2 billion and has earned more than $70 million from blush sales alone.
During the Time100 Summit, Gomez said she's "enjoying this a little too much."
The rumors aren't true, according to Selena Gomez. She's not eager to sell her makeup brand.
In March, Bloomberg reported that Gomez's company, Rare Beauty, had hired financial advisors to join meetings with potential investors and buyers.
The report came after The Business of Fashion named Rare Beauty one of the top merger and acquisition targets in January and valued the brand at $2 billion, citing $300 million in sales last year.
But during an appearance at the Time100 Summit in New York City on Wednesday, Gomez hinted at a strong future for her company — one that intrinsically involves her.
"I don't think I'm going anywhere. I am enjoying this a little too much," she told Time senior editor Lucy Feldman. "I just want to continue building what we're doing."
Selena Gomez attends the Time100 Summit in New York City.
Craig Barritt/Stringer/Getty Images
Gomez went on to describe Rare Beauty as her "pride and joy" and said there are "so many fun things coming up."
"I'm just looking forward to being a part of this," she said.
Rare Beauty has seen major success since launching in 2020 with TikTok-viral products and Sephora bestsellers. As Bloomberg reported last year, it "moved 3.1 million units" of its Soft Pinch Liquid Blush alone in 2022, earning the company around $70 million in revenue.
Rare Beauty is also known for its Rare Impact Fund, an initiative Gomez founded that's dedicated to raising $100 million over the next 10 years to expand mental health services across the world.
You can now use buy now, pay later service Affirm to pay for that Botox.
The Image Bank/Getty Images
Buy now, pay later company Affirm is starting to offer loans for elective cosmetic procedures.
BNPL works differently from a credit card — critics say it can encourage people to pile on debt.
It's not just available for Botox, though. Dental and vet bills can be paid this way, too.
"Buy now, pay later" company Affirm has identified a new category for growth, according to a new report from Reuters: elective medical procedures like Botox, nose jobs, and even dental treatments.
Buy now, pay later options like Klarna and Affirm have become ubiquitous at checkouts on e-commerce retail sites for some time. Klarna even had a Super Bowl ad. But until recently, these companies have largely focused on retail purchases.
Now, BNPL is moving into the medical arena — a first for a major buy now, pay later company, according to the Reuters report:
Over the past year, Affirm has more than doubled the number of elective medical merchants on its network, reaching around 130 at of the end of 2023. The San Francisco-based company is hoping to tap growing consumer demand for financing for cosmetic treatments, dental services, medical devices and veterinary procedures. "A lot of these price points are about $2,000 and above, so that suits our installment product … really well," Pat Suh, Affirm's senior vice president of revenue, said in an interview.
On one hand, financing cosmetic procedures is nothing new. A plastic surgeon or dentist may offer their own financing plans, and certainly, people use personal credit cards or other personal loan products for these things.
BNPL can appeal to people who don't have a credit card, perhaps because they're young and don't have a credit history or have bad credit. This can be a good thing, giving purchasing power to those who wouldn't otherwise have it. But BNPL apps typically don't help people build credit. They don't send positive payment information to the credit bureaus, but if your account goes into collections, it can negatively affect your credit score.
They can also trip those same people up. In 2022, a LendingTree report found that 42% of people who had used BNPL had at least one late payment. And those late payment fees can start to add up.
The services can also lead young people down a bad road, encouraging overspending with the allure of a seemingly low monthly payment. Business Insider reported recently how BNPL loans grew by 10 times between 2019 and 2023, creating a significant amount of "phantom debt" in the US economy since it's not typically reported to credit bureaus.
I know: It can be hard to sympathize with someone who's using lip filler they can't afford by putting it on Affirm. But go back to what it's actually being used for: "cosmetic treatments, dental services, medical devices, and veterinary procedures."
That means it's not just lip filler and Botox.
People who might need a root canal or a crown for a chipped tooth — the kind of necessary care that can be very expensive even with dental insurance — might be using Affirm. Or veterinary bills: any pet owner knows the horrible choice they face if their dog or cat needs an expensive surgery.
The US economy is facing a rare and difficult bifurcation, says Piper Sandler's head economist.
Big companies have withstood or even benefited from high rates, while consumers are feeling the squeeze.
The economist forecasts 53% odds of recession but adds that one is needed to bring down inflation.
The US is navigating a "bifurcated" economy that's only been seen twice before, with both times ending in a recession, according to a top economist.
Nancy Lazar, Piper Sandler's chief global economist, told Fox Business Network on Wednesday that the current economic backdrop is "very difficult" and "very unusual," and occurred only during the energy crisis in 1978-1979 and the latest Great Recession in 2008.
"You have those that are benefiting from higher interest rates. You have those that are suffering from higher interest rates, those that can pay for these higher prices, and those that are really getting squeezed," Lazar said.
She said large businesses have been riding high on interest income, favorable financial conditions from locking in low-cost debt, surging stock rallies, and hefty government support.
Meanwhile, consumers are feeling the squeeze, facing mounting debts at elevated interest rates while inflation eats into wage gains.
"At the end of the day, the interest rate structure had to go higher for longer, and in turn, eventually, you did have a recession, and that's how you eventually crushed the excesses and inflation," she said.
Lazar forecasts a 53% odds of a recession, but she emphasized that we "need a recession" to tackle the inflation problem.
"[Otherwise,] you're going to have a big group of people, a big group of companies continue to spend, continue to bid up these prices. And so I think it's a fine line, and I worry more about sticky inflation than I worry about recession."
Google is delaying when it will end the web cookie.
Sean Gladwell/Getty
Google delayed the removal of third-party cookies from Chrome again.
The move gives companies more time to prepare for the removal of cookies, following pushback.
Google plans to phase out cookies in 2025, subject to approval from the CMA and ICO.
Google is delaying its removal of third-party cookies on Chrome — again.
The company has delayed rolling out the removal multiple times since announcing the change in January 2020. It cited industry and regulatory pushback as the "significant considerations" behind the delay in a statement Tuesday.
"We recognize that there are ongoing challenges related to reconciling divergent feedback from the industry, regulators and developers, and will continue to engage closely with the entire ecosystem," a Google spokesperson said in a statement.
Third-party cookies are small data files stored on a user's device. Companies use cookies to track consumers across websites and target them with ads. They also use the tool to track whether campaigns are working effectively.
In recent years, Google joined companies like Apple and Mozilla in phasing out cookies to increase consumer privacy protections. Google developed its Privacy Sandbox, a collection of technologies to protect consumers while allowing companies to advertise successfully.
But the path to do so hasn't been simple.
Google is dependent on ads, and companies use cookies to target consumers and evaluate whether the ads are working. As the owner of the biggest search engine, the tech giant has received backlash from companies for planning to remove the feature because of its impact on advertising.
In January, Google experimented with phasing out cookies for 1% of Chrome users, which is about 30 million people. Various adtech companies said the new technology didn't adequately compensate for lost features from cookies.
Google has also faced regulatory complications that have prevented it from moving forward with the change. Google can't eliminate third-party cookies in Chrome until the UK's Competition and Markets Authority (CMA) is satisfied with the new technology and approves it as anticompetitive.
"It's also critical that the CMA has sufficient time to review all evidence including results from industry tests," a Google spokesperson said. "Which the CMA has asked market participants to provide by the end of June."
Previously, the CMA said it was in the process of evaluating the impact of the changes, which it planned to wrap up halfway through 2024. Once it approves the Privacy Sandbox technologies, Google has to wait between 60 to 120 days before it can switch off cookies.
"We welcome Google's announcement clarifying the timing of third-party cookie deprecation," a CMA spokesperson told BI. "This will allow time to assess the results of industry tests and resolve remaining issues."
Google originally said it wanted to eliminate cookies by the end of 2024. The company said it now aims to start phasing out third-party cookies in Chrome in early 2025, hinging on approval from the CMA and the UK's privacy regulator, which is called the Information Commissioner's Office (ICO).
The ICO will work with Google and the CMA to ensure that the end of web cookies means beneficial privacy results for web users, Stephen Almond, the executive director of regulatory risk at ICO, told BI.
"Consumers benefit when businesses meet the requirements of data protection and competition law," Almond said.
Do you have a Google tip? Email the reporter from a non-work at aaltchek@insider.com.
When you buy through our links, Business Insider may earn an affiliate commission. Learn more
New iPad Pro and Air models and accessories are on the horizon.
Apple
Apple announced this week that it will host a video-streamed online event on May 7, where the company is expected to reveal new iPads and iPad accessories. The big giveaway is the animation included in the event announcement on Apple's website, which shows a hand flicking around an Apple Pencil.
There are no official details on what Apple will announce or release on May 7. However, a significant update to the iPad Pro and iPad Air series, an upgraded Apple Pencil, and an updated Magic Keyboard are expected, according to Bloomberg's Mark Gurman, one of the most reliable sources when it comes to unreleased Apple products.
The last time new iPads were released was in 2022, when some models got a refresh, including a standard 10th-generation iPad and iPad Air and Pro models. The iPad Mini hasn't been updated since 2021. In 2023, the only iPad-related devices Apple released included a USB-C Apple Pencil.
New iPad Pros with OLED displays
The expected upcoming iPad Pros could be quite a significant update. The most exciting and plausible update coming to the new iPads is sharper OLED displays for the Pro models, according to Gurman — the same kind of displays found on iPhones since 2017.
If accurate, OLED displays have the potential to bring dramatic improvements to viewing videos and whatever you do on an iPad that uses the display. At the same time, OLED displays could hike the minimum price even further for the iPad Pro models, which are already the most expensive devices among the best iPads, starting at $799.
The current iPad Pro, released in 2022.
Antonio Villas-Boas/Business Insider
Beyond a totally new display, the new iPad Pros are said to have noticeably thinner designs, according to 9to5Mac.
The iPad Pros are widely expected to run on Apple's M3 processor, which was introduced with the latest MacBook Air and base MacBook Pro models.
A new, larger iPad Air
Alongside a refreshed iPad Air with a typical display size of around 11 inches, Apple is expected to release a new iPad Air model with a 12.9-inch display for the first time, according to Gurman, matching the display size of the larger iPad Pro model.
The iPad Air has only been available in a 10.9-inch model to this point.
Antonio Villas-Boas/Business Insider
It's widely expected that the upcoming iPad Air models will be upgraded from Apple's M1 processor to Apple's M2 processor, which was introduced in 2022 for various Mac laptops, like the 2022 MacBook Air and 2022 13-inch MacBook Pro. It would be a welcome upgrade for professionals using the iPad Air for creative visual work, but it's unlikely to make much of a difference for basic iPad use, like video streaming, social media scrolling, web browsing, emailing, or even playing games.
An Apple Pencil you can squeeze
An expected new Apple Pencil could register squeezes from your fingers to do different things, according to 9to5Mac, which referenced evidence of a new squeeze gesture in the iPadOS 17.5 beta version. The new squeeze gesture would likely activate customizable functions.
An upgraded Magic Keyboard
A new Magic Keyboard that's supposedly designed for the new iPad Pros will reportedly have an aluminum top to address the poor durability of the current Magic Keyboard, according to Gurman. A larger trackpad is also said to be expected. The whole package could make the iPad Pro and Magic Keyboard combination look similar to a Mac laptop.
Kim Kardashian, Jay-Z, and Justin Bieber have all been spotted with the truck in recent months. In March, Steve Aoki joined the ranks of owners, posting an enthusiastic video that was later re-shared by Elon Musk.
And "American Idol" judge Katy Perry posted about receiving her own Cybertruck delivery Tuesday.
Despite the hype, some experts have questioned if the spottings are just a grand marketing plan orchestrated by Tesla after it launched the vehicle in late 2023. Either way, the high-profile endorsements appear to be working in the EV company's favor.
"It's got this image of a must," Winston Chesterfield, the founder of Barton, a London consulting firm focused on the wealthy, previously told Business Insider. "If you are a high-end person that wants to be seen around, you have to have the Cybertruck."
Kim Kardashian
Kim Kardashian appears to own a Cybertruck.
Getty Images for Fontainebleau Las Vegas
Kardashian was one of the first celebs to publicly show off the truck.
Hailey and Justin Bieber attend the 2024 Super Bowl.
PATRICK T. FALLON/AFP via Getty Images
Justin Bieber and his wife, Hailey Bieber, have been spotted driving Tesla's new vehicle to church.
In images circulating online, the pair can be seen through the windows and climbing out of the pickup in a series of snaps.
Jay-Z
Jay-Z.
"Hart to Heart"/Peacock
Music superstars Jay-Z and Beyoncé also appear to have received a Cybertruck, which they quickly wrapped in matte black. The makeover even received Tesla CEO Elon Musk's seal of approval.
Steve Aoki
Steve Aoki.
Axelle/Bauer-Griffin / Contributor / Getty Images
A video posted by Musk in March showed that Steve Aoki received a Foundation Series Cybertruck.
Aoki gushed over the size of the truck in the video, calling it a "Cyberbeast."
Bad Bunny
Bad Bunny.
Getty/Amy Sussman
In late February, Bad Bunny was spotted pulling up to the Utah leg of his tour in a Tesla Cybertruck.
Pharrell Williams
Pharrell Williams in a Cybertruck.
Roxana Gonzalez
In early January, Pharrell Williams was photographed trying to park the truck in downtown Miami.
Williams, who appeared to be trying to parallel park the vehicle, ultimately had to leave it in the street after his failed attempt, a witness said.
Theo Von
Theo Von.
Chris Unger/Zuffa LLC via Getty Images
Stand-up comedian and podcaster Theo Von was spotted driving his Cybertruck as he pulled up to a stop sign.
The host of the "This Past Weekend" podcast was filmed through the truck's windows in a video that made the rounds on social media.
NBA star Anthony Edwards
Anthony Edwards, 22, could be the youngest celeb with a Cybertruck.
David Zalubowski/AP Photo
The Minnesota Timberwolves star was filmed pulling up to an NBA game in his Cybertruck.
Katy Perry
As the season finale of "American Idol" approaches, Katy Perry showed off her judging outfit and her new vehicle.
Monica Schipper/Getty Images
In a post on X, the "American Idol" judge posed in front of her Cybertruck and thanked Musk for the delivery.
"Looks good," the Tesla CEO replied.
Jason Kelce
The former NFL star has been seen by Philadelphia residents in his Cybertruck on the highway.
Lauren Leigh Bacho/Getty Images
Philadelphia residents have reported seeing retired Eagles player Jason Kelce driving around the city in his Cybertruck. The former athlete also appeared in a video where he pointed out the decal stickers on the back.
Kanye West
Ye and Musk have had their ups and downs over the years.
Bellocqimages/Bauer-Griffin/Getty Images
Ye and his wife Bianca Censori were spotted in April being driven around Los Angeles in a Cybertruck. It's unclear if the vehicle belongs to the rap mogul, but West and Musk have had a hot-and-cold friendship over the years.