Meta portrays AI data centers differently to investors and IRS
Business
Meta (the company behind Instagram and Facebook) is telling two different stories about its AI data centers.
To investors, Mark Zuckerberg hypes them up as game-changers powering your favorite apps.
But when talking to the IRS, Meta labels these same data centers as "pilot models" a move that could help the company save billions on taxes.
Meta uses 'pilot models' for credits
By calling its AI projects "pilot models" in tax filings, Meta can claim big credits on things like pricey NVIDIA chips, even though the IRS has pushed back on similar claims before.
With $18.74 billion in unrecognized tax benefits and ongoing disputes over stock options and offshore profits, Meta's creative tax strategy is definitely catching the government's eye.