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Zuckerberg Predicts Billions Of AI Agents As Meta Ramps Up Infrastructure Investment

Meta Bets On Personal AI Agents As Next Consumer Platform

Meta CEO Mark Zuckerberg said he expects personal AI agents to become a mainstream technology within the next five years, describing them as software that understands users’ goals and performs tasks on their behalf. Speaking during the company’s quarterly earnings call on Wednesday, Zuckerberg said it would be “extremely unlikely” that billions of people will not have their own AI agent capable of operating continuously across a range of personal and professional activities.

Beyond Chatbots

Zuckerberg said personal AI agents would go beyond answering questions by helping users manage finances, monitor health, navigate relationships and organize household responsibilities. He argued that future AI systems will increasingly carry out tasks rather than simply respond to prompts. “As we move toward a future where we’re all interacting with multiple agents, I think that WhatsApp and our other messaging surfaces are going to become increasingly important,” he said, adding that WhatsApp is already the leading platform for Meta AI interactions.

Competition Intensifies

Meta is among several technology companies investing heavily in AI agents. Google has made custom AI agents a central part of its search strategy, while Anthropic has expanded Claude’s capabilities through its coding assistant, Claude Code. The competition reflects a broader industry push toward AI systems designed to perform tasks autonomously rather than function solely as conversational assistants.

AI Investment Weighs On Results

Meta’s AI ambitions continue to require significant investment. Reality Labs, the company’s augmented and virtual reality division, reported a quarterly operating loss of about $4.6 billion, bringing cumulative losses since 2021 to roughly $88 billion. Free cash flow declined to $784 million from $8.55 billion a year earlier, reflecting increased spending on AI infrastructure. Earlier this week, Meta and BlackRock also announced plans to develop a $14 billion data centre in El Paso, Texas.

Betting On Long-Term Returns

Despite the investment, Zuckerberg said Meta expects AI services to generate stronger margins than providing computing capacity alone. “We believe that there will continue to be a significantly higher margin on selling intelligence rather than selling compute directly,” he said. “But we think that there’s a big opportunity, obviously, to sell compute as well.” He added that personal AI agents would form “the foundation for our next wave of products and revenue lines in the months and years ahead.”

Enterprise Adoption

Meta said more than one million businesses are already using its business AI agents on WhatsApp and Messenger following their global rollout this quarter. The company is now seeking broader consumer adoption as it expands its AI offerings, positioning personal AI agents as a key driver of future products and revenue.

Shein Targets $25 Billion Valuation In Hong Kong IPO As Growth Slows

Shein is reportedly targeting a valuation of around $25 billion in its planned Hong Kong IPO, a sharp decline from the nearly $100 billion valuation the online fashion retailer achieved in a 2022 fundraising round.

Two people familiar with the plans said the company was likely to target about $25 billion, while another source put the expected range at $25 billion to $28 billion based on the proposed price band.

IPO Valuation Falls Sharply

Shein plans to sell up to 8% of its shares in the offering, according to a person familiar with the plans. At a $25 billion valuation, that would translate into an IPO of as much as $2 billion.

The latest target is also below the $30 billion to $40 billion valuation the company was seeking earlier this month as it began meeting with potential investors.

Founded in China in 2012 and now headquartered in Singapore, Shein sells low-cost clothing to consumers in about 160 countries. The company is expected to launch its long-awaited Hong Kong IPO later this week.

Trade Restrictions Weigh On Growth

Shein’s valuation has come under pressure as major markets tighten rules affecting low-cost e-commerce shipments. The European Union, for example, has moved to impose additional fees on cheap parcels from platforms such as Shein and Temu. EU Tightens Rules On Low-Cost E-Commerce Parcels

In the U.S., the removal of an import duty exemption for small packages has also affected the company. Shein reported a $99 million quarterly loss in the first quarter of 2026 as sales growth slowed, while a one-time accounting charge further weighed on its results. Shein Reports First-Quarter Loss Ahead Of IPO

Investors Question Shein’s Growth Prospects

The steep reduction in valuation reflects growing concerns over slower growth, higher trade costs, regulatory pressure and stronger competition across global e-commerce.

Some investors who reviewed Shein’s recent financial statements or attended IPO presentations told Reuters they were skeptical that the company could return to the growth rates that supported its $98.2 billion valuation in 2022. Shein’s Slowing Growth Tests Investor Appetite

A lower IPO valuation could also affect Shein’s existing investors. Under the terms of its IPO filing, the company may have to issue additional shares to certain pre-IPO investors if its valuation falls below agreed thresholds.

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