Meta says revenue will be weak as it spends even more on AI
by The Guardian
The Guardian— Push to integrate AI into Meta products boosts financial results, but share prices tumble with weak sales forecastMeta’s drive to integrate artificial intelligence into its products yielded strong financial results for the second quarter in a row. The company plans to spend even more on AI in the coming months, though, and its share price slumped more than 15% as the company reported earnings Wednesday. A weak sales forecast and higher spending guidance rattled investors.Mark Zuckerberg said his...
CNBC—Meta tumbles 10% on weak revenue forecast and Zuckerberg's comments on spending. Meta shares tumbled on Thursday after the company issued weak revenue guidance that overshadowed its first-quarter earnings beat.
9to5Mac—Meta says it will take years to make money from generative AI – but what about Apple?. Pretty much every tech company has been investing in generative AI for the past two years, and Apple is rumored to finally bring new AI-based tools to iPhone users soon with iOS 18. However, the costs of operating such tools are quite high, and Meta has just confirmed that it will take years for the company to make money from AI. more
New York Post—Meta shares drop after warning of weak revenue growth, higher AI expenses. Meta’s shares dropped about 10% in extended trade following the report, evaporating $125 billion worth of stock market value.