I=6 Meta keeps delaying the release of its Muse Spark API
Meta had promised to release the API shortly after the release of Muse Spark in April but delayed it to April due to bugs, the Wall Street Journal reported citing people familiar with the matter.
The release was then delayed again to June.
Meta told the Wall Street Journal that it’s testing the API with partners and plan to release it this month.
I=8 Meta shares fell more than 5% amid reports that the company plans to raise tens of billions of dollars through a stock offering
Exact amount to be raised was not disclosed and sources familiar with the matter said the plans are in early stages, Financial Times reported.
Meta’s plans follow Alphabet’s blockbuster $85 billion stock offering announced this week.
A Meta spokesperson said the share sales talk were “pure speculation” but said they will continue raising capital in the most flexible ways to support their AI ambitions.
One of the sources said Meta had looked at Alphabet’s capital raising, which includes “mandatory convertible preferred issuance”- allowing it to raise capital immediately but defer stock issuance for years.
Prior to this news, Meta shares were already down 2% alongside the overall market as Nonfarm Payrolls raised concerns of interest rate hikes.
I=7 Meta plans to impose limits on AI tokens usage as costs run into billions
According to a memo sent to employees, Meta plans to track AI tokens usage and flag unusual spending spikes.
Meta is also encouraging employees to rely less on third-party AI tools for coding and make greater use of internal tools such as MetaCode.
Apparenty, Meta is on track to spend billions of dollars on internal AI use alone in 2026.
In a seperate memo, Zuckerberg told employees that they made mistakes in the recent AI workforce shift and that the 7,000 employees transferred to the newly created AI initiatives serve as a backup plan if they make mistakes in some places.
Assessment
Rising internal AI token costs could offset part of the savings from Meta’s workforce reductions, but may be there will be tailwinds as we move forward.
I=7 Meta executive who oversaw internal AI tooling leaves amid declining employee morale
Emily Dalton Smith has been with Meta Platforms since 2015 and was appointed as head of internal tooling in April.
Assessment
This may be related to declining morale at the company, as some AI employees have reportedly grown dissatisfied with the company’s strategy, including requirements to track computer keystrokes and work assigned to the Applied AI division that employees say lacks clear purpose.
I=3 U.S. government presses Meta to submit its AI models for a review, Reuters reported citing people familiar with the matter
Meta is the only U.S. AI developer that has not reached an agreement to voluntarily share its models with the federal government for review.
The U.S. government recently ordered Anthropic to suspend access to its most advanced AI models for foreign nationals, citing national security concerns.
I=6 Google limits Meta’s use of Gemini due to compute contstraints, delaying Meta’s internal projects
According to sources, Google told Meta in March that it could not supply all the Gemini capacity it requested due to compute constraints.
The decision by Google has distrupted and delayed Meta’s internal projects.
Meta uses Google’s Gemini internally to automate safety tasks, power customer service and advertising chatbots, and support coding and other workflows alongside models such as Anthropic’s Claude.
Meta had chosen Gemini becaused it performed its own Llama models but has begun to shift to prioritise its new Muse Spark model.
I=9 Meta shares rise 8% on report it’s building cloud business to sell excess compute
Meta plans to build a cloud infrastructure business that will sell access to AI computing power and models, Bloomberg reported citing people familiar with the matter.
The sources said the plans are still in development and Meta could change the strategy.
Meta shares rose by as much as 8% in pre-market trading following the report.
Assessment
This may be a long-term plan, given that Meta itself is constrained when it comes to compute. However, it reduces the risk that the company could end up with excess compute capacity.
I=8 Zuckerberg told employees AI agent buildout is not progressing as fast as expected
Zuckerberg told employees in a town hall meeting that progress on AI agent hasn’t moved as quickly as the company expected, Reuters reported citing two sources.
He reiterated that the company’s bets on restructuring ‘haven’t come to fruition yet’.
He expect more benefits in the next three to six months.
Reacting to the report on X, Meta’s Chief AI Scientist Alexander Wang said Zuckerberg was clearly talking about AI agent development in the industry as a whole, adding that the next Muse Spark update is coming soon.
I=7 Alexander Wang told employees that the upcoming AI model has caught up with GPT 5.5
Meta’s AI chief, Alexandr Wang, told employees in an internal town hall meeting that their upcoming AI model has caught up with GPT 5.5, Business Insider reported citing two sources familiar with the matter.
OpenAI has already debuted its most powerful model, GPT 5.6 though but has not released it yet due to government requests.
Responding to an X user who asked when Meta will have an Opus level model for coding, Wang said “pretty soon. I think you’ll like what we have cooking”.
I=8 Meta introduces Muse Image for generating images using prompts
Meta said Muse Image, which is integrated into Meta AI, interprets complex prompts, use photos as inputs and let users edit generated images directly through sketches or annotations.
Muse Image is currently available on Instagram and WhatsApp, and is coming soon to Facebook, Messenger, and for advertisers through Meta Advantage+ creative.
Muse Image is free to use but more capabilities are available as part of Meta’s subscription plans.
Meta also previewed its Muse Video, which is coming soon.
