Meta has significantly scaled back its political spending ahead of the 2026 midterm elections, returning $25 million to political groups previously funded by the company. About a year ago, Meta had announced a $65 million effort aimed at supporting state-level candidates who are favorable to the artificial intelligence industry. Recent filings reveal the company’s midterm campaign budget has shrunk by roughly 40 percent without any public explanation.
The refunds primarily came from the American Technology Excellence Project (ATEP), a political action committee that Meta had financed with $45 million in September 2025. According to filings made public this week, ATEP returned $22 million in two installments during July and August 2026. Separately, Meta’s California-specific advocacy group, Mobilizing Economic Transformation Across California, which received $20 million in August 2025, refunded $3 million about a year later as shown in state records.
A Meta spokesperson described these refunds as part of “adjustments” and declined to comment further on the reasons behind the moves. The company noted that over 90 percent of the candidates it supported won their primary elections and stated that its focus has shifted toward backing candidates in the general election. Meta indicated it will continue to “make adjustments” as it evaluates the most effective ways to support candidates aligned with promoting American leadership in technology.
Meta’s political activity has been concentrated in states where AI legislation is actively debated, including California, Illinois, and Texas. The political contributions were split between Democratic and Republican affiliated groups, with ATEP transferring about $3.2 million to its Democratic wing and nearly $4.1 million to the Republican affiliate. The Republican committee’s efforts were particularly visible in Texas, while the Democratic group was more active in Illinois.
The company experienced mixed results from its investments. It recorded successes in various state legislative races across Texas, Illinois, Florida, South Dakota, Georgia, Alabama, and Ohio. However, a notable setback occurred in Texas’s comptroller race, where the Republican-backed candidate Kelly Hancock was defeated despite approximately $500,000 in spending from Meta’s affiliated group.
In California, Meta’s home state, the company spent over $9 million on local state politics through September 2026, not including the refunded $3 million. Among the beneficiaries was Xavier Becerra, the Democratic nominee for governor, who received roughly $1.2 million in financial support.
Meta’s pullback in funding arrives amid a shifting regulatory and public sentiment landscape towards artificial intelligence. Growing skepticism about A.I., alongside reevaluation of political spending by some donors in the sector, may be factors influencing the company’s revised approach. Meta’s cash reserves remain robust, with over $90 billion reported recently, indicating the refunds were likely strategic rather than financially necessary.