meta, scale ai and nvidia Updates

The artificial intelligence sector is currently experiencing a dynamic period marked by substantial investments, robust company growth, and fluctuating market sentiments. Meta Platforms Inc. is leading with a colossal commitment, planning to invest $600 billion by 2028 to significantly expand its AI data centers across the United States. This ambitious project aims to develop "personal superintelligence" and has already contributed to over 30,000 skilled trade jobs since 2010. Meta recently secured a substantial $27 billion from Blue Owl Capital for its largest data center project globally, with its CFO, Susan Li, anticipating further increases in capital spending into 2026. Amidst this large-scale infrastructure development, several AI-focused companies are reporting strong financial performances. SoundHound AI Inc. announced its third-quarter 2025 revenues reached $42 million, representing an impressive 68 percent increase from the previous year. The company, which recently launched Vision AI and acquired Interactions, also managed to narrow its non-GAAP net loss and raised its 2025 revenue forecast to between $165 million and $180 million, with a goal of achieving adjusted EBITDA profitability by the end of the year. Similarly, Freshworks Inc. reported positive third-quarter 2025 earnings, with sales reaching $215.12 million. Freshworks raised its full-year revenue guidance to over $833 million, attributing this success to the rapid growth of its AI recurring revenue and strong demand for its AI-powered products. Even Qnity Electronics, a new company spun off from DuPont that supplies materials for semiconductors, received a "buy" rating, raising its 2025 sales forecast to $4.7 billion as it capitalizes on the booming demand for AI chips. However, the market for AI stocks shows some volatility. Nvidia, a critical player in AI chip development, experienced a significant drop of over 10 percent this week, with shares falling 3.1 percent on Thursday alone. This decline reflects investor concerns about potentially high AI stock valuations and the possibility of an AI-fueled bubble, even though Nvidia's stock remains up 160 percent for the year. Despite this recent dip, top analysts continue to recommend Nvidia as a strong buy, alongside Amazon, noted for its expanding cloud computing services and AI focus, and Microsoft, whose Azure cloud platform and popular Copilot AI assistant are driving consistent growth. Beyond traditional tech giants, the AI landscape is diversifying. Chinese robotaxi company Pony.ai, which recently began trading in Hong Kong, aims for profitability around 2028 or 2029 once its fleet reaches 50,000 vehicles. Pony.ai is the only company licensed for fully driverless Level 4 robotaxi services in China's four biggest cities and is collaborating with Toyota on its Gen-7 robotaxi platform. In the blockchain space, the AI blockchain project Near Protocol saw its token price surge by 38 percent in 24 hours, driven by a huge increase in trading activity on its Intent layer, which recorded nearly $4 billion in volume.

Key Takeaways

• Meta Platforms Inc. plans a $600 billion investment by 2028 to expand its US AI data centers, aiming to develop "personal superintelligence."
• SoundHound AI Inc. reported Q3 2025 revenues of $42 million, marking a 68 percent increase year-over-year.
• Nvidia's stock dropped over 10 percent this week due to investor concerns about AI stock valuations, despite being up 160 percent for the year.
• Analysts recommend Nvidia, Amazon, and Microsoft as top AI stocks, citing Microsoft's Azure cloud platform and Copilot AI assistant for growth.
• Freshworks Inc. reported Q3 2025 sales of $215.12 million and raised its full-year revenue guidance, driven by AI recurring revenue growth.
• Qnity Electronics, a DuPont spin-off, received a "buy" rating, benefiting from AI chip demand and raising its 2025 sales forecast to $4.7 billion.
• Chinese robotaxi company Pony.ai, operating Level 4 driverless services, aims for profitability by 2028-2029 with a fleet of 50,000 vehicles.
• Meta secured $27 billion in funding from Blue Owl Capital for its largest data center project worldwide.
• The AI blockchain project Near Protocol's token surged 38 percent, fueled by nearly $4 billion in trading volume on its Intent layer.

SoundHound AI Sales Soar 68 Percent in Q3 2025

SoundHound AI Inc. reported strong third-quarter 2025 results, with revenues reaching $42 million, a 68 percent increase from last year. This growth beat expert predictions and showed success in Enterprise AI, Automotive, Restaurants, and Financial Services. The company also narrowed its non-GAAP net loss to 3 cents per share. SoundHound AI launched Vision AI and bought Interactions, strengthening its AI leadership. It raised its 2025 revenue forecast to $165 million to $180 million and aims for adjusted EBITDA profitability by the end of 2025.

SoundHound AI Revenue Jumps 68 Percent in Third Quarter

SoundHound AI Inc. announced its third-quarter financial results, showing a big 68 percent increase in revenue compared to last year. The company's revenue reached $19.1 million, up from $11.4 million, thanks to more businesses using its Houndify platform and Vision AI technology. SoundHound AI saw strong demand for its AI solutions in areas like automotive and customer service. While it still had a net loss of $24.5 million, this was less than the loss from the previous year. The company expects full-year revenue to be between $63 million and $67 million.

Meta Invests $600 Billion in US AI Data Centers

Meta Platforms Inc. plans to invest $600 billion by 2028 to expand its AI data centers across the United States. This huge investment will also boost technology and create more jobs. Since 2010, Meta's data center projects have already supported over 30,000 skilled trade jobs. The company's CFO, Susan Li, expects capital spending to grow even more in 2026. Meta recently secured $27 billion from Blue Owl Capital for its biggest data center project worldwide.

Meta Pledges $600 Billion for US AI Data Centers

Meta Platforms Inc. announced a $600 billion investment plan for the US to expand its AI data center network and create more jobs by 2028. This effort aims to build top-tier AI data centers to develop personal superintelligence. Meta's data center projects have already supported over 30,000 skilled trade jobs since 2010. The company expects capital spending to increase to $116 billion to $118 billion in 2025, and even more in 2026. Meta also secured a $27 billion funding deal with Blue Owl Capital for its biggest data center project worldwide.

Qnity Electronics Stock Rated Buy Amid AI Chip Boom

Qnity Electronics, a new company spun off from DuPont, received a "buy" rating with a $110 price target. The company supplies key materials for making semiconductors and electronics, benefiting from the growing demand for AI chips. Qnity raised its 2025 sales forecast to $4.7 billion and expects $1.4 billion in adjusted EBITDA. In the third quarter, sales grew 11 percent to $1.3 billion, and adjusted net income increased by 16 percent. CEO Jon Kemp noted six straight quarters of strong growth, driven by its Semiconductor Technologies and Interconnect Solutions segments.

Pony.ai Starts Hong Kong Trading Aims for Profit by 2028

Chinese robotaxi company Pony.ai began trading in Hong Kong, adding to its US listing. CEO James Peng expects the company to become profitable around 2028 or 2029 once its fleet reaches 50,000 vehicles. Founded in 2016, Pony.ai is the only company licensed to operate fully driverless Level 4 robotaxi services in China's four biggest cities. Its Gen-7 robotaxi platform, developed with Toyota, BAIC, and GAC, significantly cuts production costs. A new Gen-7 model with Toyota will start mass production by early next year, and they also have a joint venture for robotaxi operations.

Freshworks Reports Strong Q3 Earnings Raises AI Revenue Forecast

Freshworks Inc. announced positive third-quarter 2025 earnings, with sales reaching $215.12 million. The company also reported a net loss of $4.68 million, which is an improvement from the previous year. Freshworks raised its full-year revenue guidance to between $833.1 million and $836.1 million, thanks to strong performance and high demand for its AI-powered products. A major factor in this success is the faster growth of its AI recurring revenue. The company also launched a new enterprise service product and finished several important projects.

Top Analysts Recommend Three AI Stocks to Watch

After a recent dip in AI stock prices, analysts are pointing to three top companies they believe are good buys. Nvidia (NVDA) remains a strong choice due to its growing data center sales and partnerships, with an average price target of $1,100. Amazon (AMZN) is also highly recommended for its expanding cloud computing services and focus on AI. Microsoft (MSFT) rounds out the list, with its Azure cloud platform and popular Copilot AI assistant driving continued growth.

Nvidia Stock Drops Over 10 Percent This Week

Nvidia stock is set to end the week down more than 10 percent, with shares falling 3.1 percent on Thursday alone. This decline comes as investors worry that AI stock valuations are too high and that the market might be in an AI-fueled bubble. Despite the week's drop, Nvidia's stock is still up 160 percent for the year. The company's chips are crucial for training AI models, but some experts believe its current value does not account for risks like increased competition. This sell-off has also affected other tech stocks, causing the Nasdaq Composite to fall 2.5 percent this week.

Near Protocol Token Jumps 38 Percent on Intent Layer Growth

The AI blockchain project Near Protocol saw its token price surge by 38 percent in 24 hours. While many AI crypto valuations are facing questions, Near Protocol's growth is mainly driven by its Intent layer. This transaction layer, which allows for on-chain swaps, has seen a huge increase in trading activity. Nearly $4 billion in trading volume was reported, reaching close to its past record high. This suggests that strong fundamental activity on the Intent layer is boosting the token's value.

Sources

• SoundHound Q3 Earnings Beat as AI Momentum Drives 68% Sales Growth
• SoundHound Q3 Earnings Beat as AI Momentum Drives 68% Sales Growth
• Meta Announces $600 Billion US Investment Plan To Strengthen AI Data Centers
• Meta Unveils $600 Bln U.S. Investment To Boost AI Data Centers And Workforce
• Here's our price target and rating on Qnity, our newest stock to ride the AI chip boom
• Pony.ai begins HK trading, eyes profitability around 2028
• How Investors May Respond To Freshworks (FRSH) Earnings Beat and Raised AI Revenue Guidance
• Analysts Name 3 Top AI Stocks to Watch After the Sell-Off
• Nvidia stock on track to end week down more than 10% amid investor concerns over AI valuations
• AI Blockchain Project Near Protocol Surges 38% Friday, but Not for the Reason You May Think