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The Julia La Roche Show · Tuesday, September 8, 2026

Meta and Microsoft Face Scrutiny Over Vicious Cash Burn

Behind the scenes, board members at companies like Meta and Microsoft are reportedly uncomfortable with the 'vicious' cash burn due to high capital expenditures. To appease investors, these companies have resorted to significant off-balance sheet financing, with Meta reportedly raising up to $600 billion in recent years.

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The tape

3 quotes
What these guys have done behind the scenes is when you talk to people that are close with these companies, the board members, you know, in San Francisco, um, the cash burn at Meta, Microsoft, it's been so vicious in terms of the capital expenditures.
And when you burn a lot of cash, it makes the board members very, very, very uncomfortable.
And so what they've done to appease, uh, investors behind the scenes is they've done, you know, just look at Meta, 30 billion of off-balance sheet financing up to 600 billion in recent, very fan. Like last two, three years.
Heard on The Julia La Roche Show — “#407 Larry McDonald: The Bond Market's Biggest Contrarian Trade, published Tuesday, September 8, 2026. Heardvine summarizes and quotes with attribution and timestamps, and links to the original everywhere.
Transcribed via Gemini audio transcription · $0.05