New AI innovations are piquing investors' interest.
Meta has shuttered an artificial intelligence image creation feature after just three days, following public backlash. The tech giant last Tuesday (July 7) introduced a tool that let users generate images using public Instagram accounts.
Meta's significant AI-related organizational restructuring hasn't paid off. Betting on personal superintelligence gives this business a different goal than its hyperscaler peers.
Meta was criticised for feature launched on Tuesday that automatically lets users generate images using content from public Instagram accounts
Users and Hollywood agencies raised privacy and copyright concerns about the new tool, Muse Image.
Meta has axed a controversial feature that allowed users to modify photos from public Instagram accounts using AI. The feature, which was rolled out earlier this week along with a batch of other AI tools, “missed the mark” and is no longer available, according to the company.
Meta's Superintelligence Labs on Tuesday introduced Muse Image, a bot meant to compete with OpenAI's ChatGPT Images 2.0 and Google's Nano Banana 2.
Meta has faced backlash for its Muse Image tool from Hollywood unions, talent agencies and cybersecurity firms over privacy concerns. Instagram's implementation of the tool allowed users to create AI content based on images posted by public accounts, which are not notified when their posts are used for image generation, and users are automatically opted into the program.
Investors are bullish on Meta's new low-cost AI pricing and infrastructure plans.
Meta Platforms, Inc. is up 15%+ since my previous post and I'm reiterating my “buy” rating as it pushes ahead to build the strongest foundation of a real AI revenue stack. Recent launches—Meta Cloud, Muse Image, and Muse Spark 1.1—unlock new monetization pathways beyond core advertising that is currently not priced in. META continued to trade at an attractive valuation at just 19.55x FY26 EPS, compressing to 16x FY28, with 23% upside to consensus price targets.
Meta was the best-performing stock in the S&P 500 on Friday as investors continued to cheer the social media giant's push to monetize its AI investments.
Meta Platform's AI efforts are looking like the recipe for a comeback after an almost year-long drought in shares of the $1.7 trillion market-cap company.