Meta Platforms' core advertising business is its cash cow, and right now, that cow shows no signs of slowing. Q2 results are impressive, with both gross and operating margins expanding. Bernstein now projects Meta to beat Google in global ad revenue by 2026, a scenario that would have been unimaginable just a few years ago. In 2025 alone, Meta is set to spend up to $72 billion on AI. The crown jewel is the $50-billion Louisiana data center, the largest of its kind ever built.
Shares of Meta Platforms Inc. (NASDAQ: META) lost 2.15% over the past five trading sessions after gaining 0.76% the five prior.
Sen. Josh Hawley said he would launch an investigation into how Meta trains its AI chatbot. Meta will train its chatbot not to have romantic discussions or talk about self-harm with children.
It's only been since June that Meta invested $14.3 billion in the data vendor Scale AI, bringing on CEO Alexandr Wang and several of the startup's top executives to run Meta Superintelligence Labs (MSL). However, the relationship between the two companies is already showing signs of fraying.
Meta says its changing the way it trains AI chatbots to prioritize teen safety, a spokesperson exclusively told TechCrunch, following an investigative report on the company's lack of AI safeguards for minors.
Lawyers for Elon Musk have asked a U.S. judge to block ChatGPT-owner OpenAI from obtaining documents from Meta Platforms related to a previous $97.4 billion bid for OpenAI's assets, a court filing showed.
The company has successfully utilized artificial intelligence to grow its ad business and take share from Google Ads.
Meta's ad revenue grew 21% YoY to $46.6B in Q2-FY25, driven by AI models improving ad relevance and conversions. Instagram conversions rose 5% and Facebook 3% YoY as AI-powered tools like Andromeda, GEM, and Lattice boosted advertiser ROI. Family of Apps generated 99.2% of revenue at $47.1B, sustaining a strong 53% operating margin despite high AI investments.
The market is likely to close the year at new highs. Here is the reasoning:
Shares of Magnificent Seven stock Meta Platforms NASDAQ: META have gone on an extremely impressive run thus far in 2025. Year to date, the stock has provided a total return of just over 26%.
Meta reportedly plans to introduce its new smart glasses at next month's “Connect” conference. Those glasses, Meta's first to feature a consumer-ready display, will be announced at the annual conference along with a wristband that lets users control the glasses via hand gestures, CNBC reported Friday (Aug. 22), citing sources familiar with the matter.
Meta is set to launch two new smart glasses at its annual Connect developer conference in September. That includes its first consumer-ready glasses with a display and a wristband that will allow users to control the glasses with hand gestures, potentially paving the way to AR glasses.