Meta Platforms (NASDAQ: META) shares climbed more than 2% in Monday premarket trading as investors reacted to Mark Zuckerberg’s latest artificial intelligence push and the company’s growing competition with Chinese AI developers.
META was trading near $604.81 before the U.S. opening bell, up $12.71, or 2.15%, after closing the previous session at $592.10. The move pushed Meta back above the closely watched $600 level.
The catalyst is Muse Glimmer, Meta’s new open-weight AI model built for agentic tasks. The model is designed to run with less computing power than the largest frontier systems, potentially giving developers a cheaper and more flexible option for running AI locally.
The announcement comes as Zuckerberg tries to strengthen Meta’s position in open AI while Chinese developers including Alibaba, DeepSeek and Moonshot continue gaining attention. That broader race matters for investors because Meta is spending heavily to make AI a larger part of its products and developer ecosystem.
META stock: key numbers
| Metric | Figure |
|---|---|
| Previous close | $592.10 |
| Premarket price | $604.81 |
| Premarket move | +2.15% |
| Q2 2026 revenue | $60.80 billion |
| Q2 net income | $15.85 billion |
| Q2 diluted EPS | $6.18 |
| Q2 capital expenditure | $31.08 billion |
Premarket prices can move quickly and may differ from the regular-session opening price.
Meta versus China’s AI challengers
Meta’s strategy is increasingly focused on keeping American open-weight AI competitive with models coming from China.
Alibaba Group Holding (NYSE: BABA), one of the most important Chinese technology names in the AI race, closed Friday at $128.41, up 1.26%. Alibaba’s Qwen models, along with systems from DeepSeek and Moonshot, have become increasingly relevant to developers looking for capable open alternatives.
| Company | Ticker | Referenced Price | Move |
|---|---|---|---|
| Meta Platforms | META | $604.81 premarket | +2.15% |
| Alibaba Group | BABA | $128.41 close | +1.26% |
The share prices are not directly comparable because the companies have different valuations and share structures. The important comparison is strategic: both are trying to attract developers and businesses to their AI ecosystems.
Meta has already been investing deeply across the AI stack. Earlier this year, the company was also developing new in-house AI chips under its MTIA program, highlighting Zuckerberg’s effort to control more of the hardware and software behind Meta’s AI products.
Meta’s AI spending is the bigger investor story
The company generated $60.80 billion in Q2 2026 revenue, up 28% from a year earlier. Advertising revenue remained the core engine, while Meta’s family of apps reached about 3.60 billion daily active people.
However, the AI build-out is expensive. Meta spent $31.08 billion on capital expenditures during the June quarter and expects 2026 capital spending of roughly $130 billion to $145 billion.
Research and development expenses also climbed sharply as Meta invested in models, infrastructure, chips and talent.
That spending helps explain why shareholders are paying close attention to products like Muse Glimmer. Investors want to see evidence that Meta’s enormous AI budget can translate into stronger advertising, better recommendations, new business tools and developer adoption.
The pressure from rising costs has already affected sentiment around the stock. In an earlier period, Meta shares came under pressure as investors weighed AI spending against growth.
Meta’s official Q2 2026 earnings release showed net income of $15.85 billion and diluted earnings of $6.18 per share.
Read More
$600 and $610 are the immediate price levels
For traders, $600 is the first level to watch because META moved back above it in premarket trading.
From $604.81, the stock would need to gain about 0.86% to reach $610. A move to $620 would represent roughly another 2.5% increase.
On the downside, a retreat to Friday’s $592.10 close would erase the premarket gain.
These are market reference points rather than forecasts. The longer-term question is whether Meta can turn its AI investment into durable financial returns.
Muse Glimmer gives Zuckerberg another way to compete. Instead of relying only on huge proprietary models, Meta can target developers who want smaller systems that are easier to customize and potentially cheaper to run.
If adoption grows, Meta could strengthen its position in open AI while expanding its influence beyond Facebook, Instagram and WhatsApp. If Chinese models continue improving faster, the company may face even greater pressure to spend.
For now, META’s move from $592.10 to about $604.81 has put the stock back above $600 and made Zuckerberg’s open-AI strategy a key issue for investors watching the next leg of Meta’s growth.
Stock prices and premarket indications can change rapidly. Price levels are provided for informational context and are not investment recommendations.
Make Swikblog your go-to source on Google for reliable updates, smart insights, and daily trends.
