Meta Platforms is preparing to raise between $20 billion and $25 billion through a massive investment-grade bond offering, as the social media giant accelerates its infrastructure spending amid the artificial intelligence boom. The Facebook parent joins a growing list of tech companies tapping debt markets to fund their AI ambitions.

The bond sale comes as Meta faces increased competition in the AI space, with companies like Microsoft and Google investing heavily in similar technologies. The company has signaled its commitment to AI through recent hiring sprees and new product developments, all of which require substantial computational infrastructure.

Market analysts view Meta's bond offering as a strategic move to position itself in the lucrative AI market while maintaining its core social media businesses. The company's ability to secure such a large debt offering reflects investor confidence in its long-term prospects, despite recent challenges in the social media advertising market.