Mark Zuckerberg’s net worth dropped by approximately $29.2 billion following Meta’s latest quarterly earnings report, pushing him two spots down on Bloomberg’s Billionaires Index to fifth place with a current fortune of $235 billion. The decline came as Meta’s stock plunged nearly 9% after the earnings release, with shares falling more than 11% by Thursday evening. The drop was driven by investor concerns over Meta’s aggressive AI spending plans. The company revealed it expects to spend between $70 billion and $72 billion on AI-related capital expenditures in 2025—up from its prior guidance of $66 billion to $72 billion. Meta CFO Susan Li also indicated that spending could rise even further in 2026 as the company expands its data centers, cloud infrastructure, and workforce for Meta Superintelligence Labs. Zuckerberg faced tough questions during the earnings call with analysts, particularly about the scale of Meta’s investments. When JPMorgan analyst Doug Anmuth asked about the rising costs, Zuckerberg defended the strategy, saying that overbuilding capacity was a smarter move than being underprepared for future AI breakthroughs. In what he described as the “very worst case,” Meta would simply face some depreciation costs while gradually scaling into the extra compute power—far better than being caught short when the next wave of AI innovation hits. Despite the strong rationale, investors reacted negatively, viewing the spending as risky and potentially unsustainable in the short term. The market’s reaction echoed past volatility tied to Meta’s strategic bets. In 2022, the company’s metaverse ambitions led to a $100 billion loss in Zuckerberg’s wealth after earnings missed expectations and shares tumbled 24%. Meanwhile, Amazon’s Jeff Bezos saw his net worth decline by about $6.6 billion, though Amazon’s stock surged more than 13% on Thursday after reporting strong third-quarter results, including significant growth in Amazon Web Services. Alphabet’s Larry Page, meanwhile, rose to fourth place on the list with a net worth of $244 billion, as Alphabet’s shares gained 2.5% on better-than-expected earnings driven by Google Cloud and Search. Microsoft also saw its stock fall, dropping 3% at one point after reporting a record $34.9 billion in capital expenditures for the quarter—up from $24.2 billion the previous quarter. The company signaled that spending could increase further in 2026, fueling investor anxiety. Peter Berezin, chief market strategist at BCA Research, called the recent stock declines at Meta and Microsoft a “yellow flag” for the broader AI investment trend. In a note to clients, he warned that when a major tech company announces massive capex increases and its stock still falls, it could signal the start of a shift in sentiment. “When Zuck says we’re investing for the best-case scenario to avoid being left behind, that’s dangerous,” Berezin said. “If the best-case scenario doesn’t materialize, you’re left with big write-offs.” He expects similar market reactions across the sector in the coming months, suggesting the AI boom may be showing early signs of cooling.