AI Revolution at Meta Platforms: Sustainable Growth Opportunities for Investors

The world of Artificial Intelligence (AI) proves to be more than just a temporary trend on Wall Street. This technology holds the potential to make companies more efficient and increase profits in the long term. Therefore, it remains advisable to invest in leading AI companies. One of these promising companies for the future is Meta Platforms. Meta Platforms already offers a wide range of AI-related services and pursues ambitious AI initiatives to optimize its own business. An example of this is Meta AI, a platform positioned as a free alternative to ChatGPT. Whether it's simple queries or creating images, the new AI assistant handles various tasks at the cost of a Facebook or Instagram account, which many people already have. Although these services are currently free, Meta Platforms does plan to monetize these efforts in the future. The company also uses AI to increase user engagement on platforms like Facebook and Instagram through sophisticated recommendation algorithms, benefiting advertisers on their pages with AI tools that make ads more efficient. In the third quarter, Meta AI recorded over 500 million monthly active users. Additionally, AI-driven video recommendations contribute to increased user time on Facebook and Instagram. This led to a 19% increase in revenue to $40.6 billion in the most recent quarter compared to the previous year. Earnings per share even rose by 37% to $6.03. With 3.29 billion daily active users, the potential of Meta Platforms combined with artificial intelligence is considerable. The search for new monetization avenues, such as for WhatsApp, shows that it is not a sprint but rather a long-term marathon, in which the comprehensive Meta ecosystem plays a key role.