Sacramento State’s Capital Campus project is set to receive $50 million in funding from META, announced by Gov. Gavin Newsom on Thursday, Jan. 29. Students and alumni, however, are curious as to how this development will impact campus directives.

The $50 million investment to the state of California will catalyze the early stages of the project. The development is anticipated to provide 3-5 million square feet of facilities, including student housing, a School of Public Affairs, a mixed-use arts venue, an artificial intelligence center, and a boutique hotel all within the Capitol Mall.

“This funding will be transformative for the downtown area,” President Luke Wood said in a video message on Friday. “We envision our students, right here, next door to the State Capitol, learning and becoming the policy leaders of tomorrow.”

META founder and CEO Mark Zuckerberg also commented on the historic investment, emphasizing the importance of collaboration to uplift the state of California. META has been located in California since 2004, recently launching two super PACs, totaling $65 million to influence the state’s politics to be more friendly toward AI.

“I believe these investments will help strengthen our communities and support the next generation of leaders and innovators,” Zuckerberg said in a press release.

Adrian Amador, a computer science major in his fourth year, said that he was surprised to hear about the investment . He said considering his major, the development opens up job opportunities and proximity to the Capitol as highlights for students, but also risks. He also said that he believes the student body will advocate for what is best for students amid distrust in both META and Sac State.

“This can lead to something bigger and something new that can elevate us to a higher standpoint,” Amador said. “But just as much as I’m hopeful, I’m also fearful, because that can also take away from us and the life of every student organization or every department.”

J Cardenas, a fourth-year communications major, shared a similar sentiment, saying that Wood’s declaration of Sac State’s “Year of the Arts” during his spring address conflicts with the university’s use of AI-generated images.

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Amador said he was concerned about the use of an apparent AI-rendered image of Capitol Mall in the initial press release. Sac State has a history of using AI images, with students criticizing the university for using AI generated art in their promotional material.

A render of Capitol Mall found on Sac State’s page announcing META’s $50 million investment into the university’s downtown campus project. The image visually looks to be generated using AI, causing hypocrisy concerns among students after Wood announces the university’s “Year of the Arts” at his 2026 Spring Address. (Photo courtesy of Sac State)

“Sac State posted an AI image when you have artists, students, who are willing to make art for you,“ Amador said. “It’s actually soulless.”

Sac State said in an interview with The State Hornet that design students and Associated Students Inc.’s Board of Directors were consulted in the initial phases of the development. The Alumni Foundation Board were briefed about the project before official announcements were made. The university said it is planning to share more with students to increase engagement once plans are finalized.

Christina, an alumna who graduated from Sac State in 2015, said she is skeptical of the school accepting funds from META given their political alignment. She requested partial anonymity, citing employment concerns.

“This is dirty money. I am well aware that funding is a big contention for universities, but what are the priorities here?” Christina said. “Where is the investment in current infrastructures and active students? I fear this is a rush project and a redirection that leaves other programs neglected.”

Amador said he was hopeful that the project would help students but was concerned about a lack of transparency around META’s role in the investment.

“Two-way contracts: there’s always you give, and you receive,” Amador said. “I’m not sure how that looked on our end, and that’s what I’m worried about.”

Sac State responded to concerns, saying that META’s investment was a gift to the State of California’s Department of General Services and not to the university itself.

“[META will] have no influence over how our students, faculty or staff are going to learn, grow and make policy decisions,” Sac State said. “We will always remain a Black-serving Institution, a Hispanic-serving Institution and an [Asian American Native American Pacific Islander Serving] Institution.”

The university said it will never compromise its values.

“Sacramento State is the economic engine and lifeblood of Sacramento in this region, and if we do it right, it’s an opportunity for our students to be engaged in the workforce early so they can get jobs upon graduation,” Sac State said. “That’s the most important thing that we can do as a university, especially because we support underserved communities.”

Cardenas agreed with Christina, saying he’s concerned about the lack of transparency into how META is benefiting from the investment, given META’s past of data privacy issues. Cardenas said he generally supports AI use in the classroom, specifically its ability to make people’s lives easier, but that it should not replace human intelligence.

Sac State said that META will not have any exclusive deals or rights to student’s work nor will the company have access to any university resources or influence amenities. A university spokesperson said that, since the funding is being given to the state, there will be no input from META around legislation or policy decisions on behalf of Sac State.

“Partnering with a private company, it’s always dicey,” Cardenas said. “Private companies only have their best interests at heart. They don’t really care about the students at Sac State. You can argue that up and down, they don’t care. They only care about profits.”

Despite the varied questions, Cardenas said he still believes that this decision was made in good conscience and has the potential to benefit students.

“I do think that President Wood has the best interest for Sac State in his heart, like as a whole, regardless of if he’s not going about it the right way,” Cardenas said.