Facebook parent company Meta CEO Mark Zuckerberg said on Wednesday that artificial intelligence (AI) is helping the company boost Facebook and Instagram traffic and get better at ad sales. more income. Meta’s second-quarter revenue outlook came in well above analysts’ expectations.
It was previously reported that Meta has been using CPUs instead of GPUs when developing its AI business, causing the company to lag behind its competitors in the AI development process. Meta had planned to launch a custom chip in 2022, but then dropped it and ordered billions of dollars of Nvidia GPUs instead. Meta has since made several costly overhauls to support its core business, including a major project to upgrade its AI capabilities.
Mark Zuckerberg responded on a conference call on Wednesday: “At this point, we are no longer behind in building AI infrastructure. Instead, we now have the ability to lead work in this area at scale.” Meta said, from January to this year In March, AI recommendations led to a 24% increase in time spent on Instagram.
“I think a lot of Meta’s AI investments, similar to Alphabet, Google’s parent company, are going into advertiser clients,” said James Cordwell, an analyst at stockbroker Atlantic Equities. , we may not have seen the fruits of their labor in this regard, but it seems that they are able to use more advanced algorithms to maintain a certain level of targeted advertising.”
Mark Zuckerberg also said Meta saw “an opportunity to roll out AI agents to billions of people in a useful and meaningful way.” “I expect that once we nail down that experience, there will be a lot of interest in AI agents for business messaging and customer support. Over time, this will expand to our work on the Metaverse as well … where people will be able to more easily create avatars, objects, worlds, and the code that ties all of that together,” he said.
