Meta's AI Struggles: Implications for the Future.

Meta has been playing catch-up in AI hardware and software systems, which has hindered its ability to keep pace with innovation at scale. The company has been engaged in a massive project to overhaul its AI infrastructure, including a scrapped custom AI chip project and a new more ambitious chip planned for 2025. The overhaul has spiked Meta's capital expenditures by about $4 billion a quarter and led it to pause or cancel previously planned data center builds in four locations. The company has also been slow to prioritize building generative AI products until after the launch of Microsoft-backed OpenAI's ChatGPT in November.