Meta Just Spent $14.8B on AI--and Triggered a Big Tech Breakup
Warning! GuruFocus has detected 4 Warning Sign with META.
This comes at a time when the U.S. government's posture on AI deals is in flux. Under President Trump, the signal from antitrust enforcers has been mixed skepticism of Big Tech, yes, but also a desire not to clamp down too hard on the pace of AI development. That gray area might be why deals like this are structured so carefully. Experts say Meta's minority, nonvoting stake was likely designed to stay under the radar and it might work. Smart move, said Boston College antitrust professor David Olson. They've given themselves some cover. Still, Senator Elizabeth Warren has already called for an investigation, warning the deal could give Meta an unfair advantage if it leads to dominance in the AI arms race.
Meanwhile, history shows a pattern. Amazon (NASDAQ:AMZN) and Microsoft (NASDAQ:MSFT) have each pulled off similar talent-and-tech grabs from AI startups with little resistance so far. The FTC opened inquiries but hasn't followed up with action, and some say the cases are now gathering dust. Whether Meta's Scale AI play gets the same pass remains to be seen. If this becomes the new blueprint for AI dealmaking, we might be entering an era of high-stakes, low-visibility acquisitions where the biggest moves don't look like takeovers, but work like them anyway. Investors are watching closely.
This article first appeared on GuruFocus.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
5 minutes ago
- Yahoo
Citi raises gold forecast to $3,500/oz over next 3 months on negative US outlook
(Reuters) -Citi raised its gold price forecast over next three months to $3,500 per ounce on Monday from $3,300, and the expected trading range to $3,300–$3,600 from $3,100–$3,500, on the belief that near-term U.S. growth and inflation outlook has deteriorated. "U.S. growth and tariff-related inflation concerns are set to remain elevated during 2H'25, which alongside a weaker dollar, are set to drive gold moderately higher, to new all-time highs" the bank said. Last week, U.S. President Donald Trump imposed steep tariffs on exports from dozens of trading partners, including Canada, Brazil, India and Taiwan. The tariffs imposed last week on scores of countries are likely to stay in place rather than be cut as part of continuing negotiations, Trade Representative Jamieson Greer said on CBS show "Face the Nation" aired on Sunday. Last week, the dollar weakened after nonfarm payrolls increasing by 73,000 jobs last month, after rising by a downwardly revised 14,000 in June, which revived hopes of a Fed rate cut in September, with markets now pricing in an 81% chance, per CME FedWatch tool Citi also highlights weaker U.S. labor data in second quarter of 2025, institutional credibility concerns have increased regarding the Federal Reserve and US statistics, and elevated geopolitical risks related to the Russia-Ukraine conflict. Gold, traditionally considered a safe-haven asset during political and economic uncertainties, tends to thrive in a low-interest-rate environment. Citi estimates gross gold demand has risen over one-third since mid-2022, nearly doubling prices by second quarter of 2025. The strength in gold demand was driven by strong investment demand, moderate central bank buying and resilient jewellery demand despite higher prices, the bank added. Spot gold was trading at $3,356.88/oz at 0340 GMT on Monday. [GOL/] Sign in to access your portfolio
Fast Company
6 minutes ago
- Fast Company
These 8 highly rated tech companies have 300+ remote jobs to fill
Ditch the commute and embrace the pajama pants-powered productivity of remote work. Plenty of fantastic tech companies are not only offering remote positions but are also highly regarded by their employees. I've scoured the job boards and employee reviews to bring you eight that are actively hiring for hundreds of remote roles right now. Judging from their Glassdoor ratings, these outfits are borderline-beloved by the folks who work at them. If you're on the hunt for a flexible work setup at a company where people genuinely enjoy their jobs, this list is for you. Rula (Glassdoor Rating: 4.6) Rula is a behavioral health technology company on a mission to make high-quality mental healthcare accessible to everyone. It builds tools and services that empower therapists and streamline the process for individuals seeking support. Employees rave about Rula's mission-driven culture and commitment to employee well-being.
Digital Trends
6 minutes ago
- Digital Trends
FBI warns of a particular scam involving QR codes
Scammers are increasingly exploiting QR codes to trick people into revealing financial information or installing malicious software on their devices. The FBI has recently issued a warning about a particular type of scam involving QR codes on packages delivered to people who didn't order them. Recommended Videos The scammers are clearly playing on our curious nature, with the appearance of an innocent-looking QR code likely to tempt at least some people to scan it to find out more about the mystery package they've just received. But this could take you on a journey where you end up being tricked into handing over personal details such as financial information, or downloading malware that could pull data from your phone. 'While this scam is not as widespread as other fraud schemes, the public should be aware of this criminal activity,' the FBI said. The agency said the activity is a variation of the so-called 'brushing scam' where online sellers send you unordered items so that it can use your name to post fake reviews to boost the product's rating. 'In a traditional brushing scam, online vendors send merchandise to an unsolicited recipient and then use the recipient's information to post a positive review of the product,' the FBI explained, adding that in this latest variation, 'scam actors have incorporated the use of QR codes on packages to facilitate financial fraud activities.' The FBI is imploring people to beware of delivered packages that they didn't order, and to avoid scanning QR codes from unknown origins. The agency's warning comes at a time when QR codes are being increasingly used in scams besides those involving unsolicited packages. QR codes are being used increasingly by criminals, mainly because of their growing presence in everyday life. It means scammers are even sticking fake codes over legitimate ones, so you need to be on your guard when you hold your phone over one, especially when you're out and about. The New York Department of Transportation, for example, recently alerted drivers to a scam where criminals were sticking QR codes on parking meters. The code directed anyone who scanned it to a third-party webpage asking for credit card information. These days, most phone cameras automatically recognize QR codes and, unless you've turned off the setting, show you the web address that you'll land on if you tap it to proceed. So even with codes that you think you can trust, take a moment to read that address before going ahead. As for QR codes stuck on packages that you didn't order, just ignore them entirely.
