Meta reported revenue of $66bn for the quarter ended 30 June, a 28% increase from the same quarter last year, but saw a 55% increase in costs, which rose to $42bn. Costs included $2.4bn of charges related to legal proceedings and $1.18bn of severance expenses connected to the May 2026 headcount reduction. The company is investing heavily in artificial intelligence technical infrastructure to support its advertising business, surface relevant content, and potentially offer infrastructure services to businesses. CEO Mark Zuckerberg said a significant portion of compute will go toward training models, growing the core business, and delivering personal agents and new products, while also expecting to grow a large business serving large customers, with an API and business agents rolling out. CFO Susan Li said industry capacity will remain tight for the foreseeable future, and enterprise offerings could take forms such as agentic tools, the API, or monetising compute directly given outsized market demand. Li noted further headroom to improve recommendations into 2027, driving gains on Facebook and Instagram engagement, with AI investments expanding LLM-based content understanding and improving data infrastructure for training on more data.