Science & Technology

Barclays Analysts Say About Positive Prospects of Meta in AI Industry

Analysts of the British universal bank Barclays believe that Meta Platforms, as a result of the implementation of the strategy of active integration of artificial intelligence technologies into its apps line, can achieve positive growth results in the AI industry space.

Barclays Analysts Say About Positive Prospects of Meta in AI Industry

Experts of this financial institution believe that the technology giant can be described as a potential leader in the sphere of machine intelligence. According to analysts, mega-apps Instagram Facebook, WhatsApp, Messenger, and Instagram, which are part of the Meta ecosystem, are a level of interaction for users, providing them with unhindered access to an information environment filled with a huge bunch of data arrays, and providing an infrastructure for transactions using artificial intelligence tools.

The tech giant is actively working on developments in the sphere of AI. The company has made tools for creating artificial intelligence, including image editing using advanced technology on Instagram and new chat stickers for various virtual platforms. Meta aims to ensure that by 2024 the number of users involved in the digital space, where machine intelligence is actively applied, will amount to more than 800 million people. Experts say that the successful implementation of this scenario of the tech giant’s actions can increase its advertising revenue by $16 billion. This result, if achieved, will primarily be due to higher by higher cost per thousand (CPM ) rates. Also, the successful implementation of the current strategy of the technology giant could potentially affect the cost of goods sold by Meta. This figure may exceed the $10 billion mark.

Barclays, which maintains an overweight rating and a target Meta stock price of $410, believes that the combination of new services with the existing distribution mechanism is the main factor of decisive importance for the widespread adoption of consumer Internet products.

An example of the prospective of approach of a technology giant to the promotion of user-oriented digital developments is the commercial effectiveness of a chatbot based on Snap’s My AI artificial intelligence. In seven months, the number of users of this virtual product has reached an indicator exceeding 150 million people. Approximately 100 million consumers interact with the chatbot every day.

Meta is currently developing characters with artificial intelligence on the subject of celebrities who will help solve everyday tasks of users, including gaming activity in the digital dimension, cooking, socializing, shopping, training, and traveling. Barclays is of the opinion that this solution, combined with the use of famous personalities’ faces and imitation of their facial expressions, can become a popular virtual product in the consumer environment.

According to experts of financial institution, digital developments will be especially interesting for WhatsApp and Instagram users who are not technology specialists. They also believe that in this case, the barrier that often arises in the framework of interaction with other AI services will be overcome. Experts in this context mean the category of usefulness of digital developments as a criterion of its expediency. In a more substantive sense, this means that the activity of interaction with services is due to various kinds of benefits that users derive from this process.

Other tech giants are also actively working on the creation and implementation of products based on machine intelligence. This week Google presented a digital assistant with AI. The company said that in the coming months, this tool will be available on mobile devices running on Android and iOS operating systems. At the end of September, Microsoft announced the beginning of the introduction of a virtual assistant based on artificial intelligence. The tech giant said that this development will change the way users interact with technology.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.