"What was a very simple story is suddenly getting a lot more complex," she says."
"In the first phase, in the first three years, Zuckerberg was building everything with cash on his balance sheet, with free cash flow," Shalett said, referring to Meta founder Mark Zuckerberg. "When you start using debt, and you use debt in the shadow banking market, meaning you're partnering with private-credit players where you're using private wealth money, etc, etc, it just gets harder to track, and it gets more and m"
"the landscape has suddenly gotten a lot, lot, lot more complicated"
Meta structured a $30 billion, debt‑financed deal for a massive AI data center in Richland Parish, Louisiana, with Blue Owl Capital owning 80% and Meta retaining 20% through a special‑purpose vehicle off Meta's balance sheet. Morgan Stanley served as the bookrunner for the transaction. AI infrastructure funding has shifted from big‑tech cash and free cash flow to private‑credit and off‑balance‑sheet financing. That shift increases financing opacity, complicates vendor and financing relationships, raises uncertainty around AI startup profitability, and heightens investor demand for demonstrable returns, making the tech stock narrative more complex.
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