Meta Platforms Invests Heavily in AI
Meta Platforms (NASDAQ: META) has launched a new division, Meta Superintelligence Labs, focusing on artificial intelligence. This initiative comes with a substantial investment of $14 billion into Scale AI, highlighting the company’s commitment to advancing AI technologies.
Meta has been experiencing significant cash expenditures, particularly through its metaverse unit, Reality Labs. Despite operating losses, the company reported nearly $67 billion in earnings over the past 12 months, driven by its popular apps like WhatsApp, Instagram, and Facebook.
Currently, Meta AI reaches 1 billion users across its applications each month, suggesting a solid foundation for further growth in its AI business. However, questions remain regarding the profitability and strategy of this new focus amid ongoing cash-burn concerns.
