Meta Introduces Non-Voting Stock to Fuel AI Expansion

Meta is introducing a new class of non-voting capital stock to finance its aggressive artificial intelligence buildout, as TechCrunch first reported, citing reporting from Semafor and confirmation from the company during its third-quarter earnings call.

Chief Financial Officer Susan Li stated that these shares will be distributed to current shareholders as a stock dividend. The primary objective of the new stock class is to provide a publicly traded instrument for capital raising, acquisitions, employee compensation, and general corporate needs. Crucially, Li noted that this structure is designed to preserve the voting power of Class A and B shareholders, thereby maintaining Meta's "founder-led structure."

The move comes as Meta scales its AI initiatives, including the Muse line of models (Spark, Glimmer, Wonder, and Spark Open) and the Muse Code agent. CEO Mark Zuckerberg reported that over 10 million people in Canada and the U.S. have adopted Muse personal agents in six weeks, signaling a shift toward a scaling phase intended to eventually reach billions of users.

Financial pressure underlies the capital shift. While Meta reported strong third-quarter revenue of $64 billion—a 26% year-over-year increase—its costs and expenses surged by 68% during the same period. Additionally, the Reality Labs division continues to operate at a loss, though Meta expects those losses to narrow to between $18 billion and $19 billion from 2025 levels.