Why META Stock Could Become 2023’s Stealthy AI Superstar

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Did you ever consider Meta Platforms (NASDAQ:META) stock as way to gain exposure to the red-hot field of artificial intelligence (AI)? If not, then now’s the time to take a closer look at Meta Platforms. The company is shoring up its tech team with machine-learning experts, so don’t be too shocked if Meta suddenly emerges as an AI superstar in 2023.

If you look through Meta Platforms’ official press releases, you probably won’t find anything directly related to machine learning. Even while Meta showed user-base and revenue growth during this year’s first quarter, the company’s press release didn’t focus much on AI.

Don’t draw the wrong conclusion from this, though. While it’s not necessarily evident in the company’s press releases, Meta Platforms is quite serious about machine learning. But don’t just take my word for it — let’s take a closer look right now at what Meta’s been doing lately to solidify its position as an emerging AI leader.

Meta Platforms Augments Its Team of AI Specialists

Although Meta Platforms wasn’t necessarily the first tech titan to deploy AI, the company is utilizing machine learning now and noting the results. According to Yahoo! Finance, user time spent on Instagram increased 24% “since Meta Platforms launched AI-powered Instagram reels.” Moreover, due to AI playing a bigger role in Meta Platforms’ social media platforms, “Reels monetization is up over 30% on Instagram and over 40% on Facebook on a quarterly basis.”

Yet, this is only the starting point for Meta Platforms as the company continues to infuse its operations with machine learning. As evidence of this, Meta reportedly hired a group of Norway-based AI technology experts who had worked for Graphcore, a British chip company.

According to Meta Platforms spokesperson Jon Carvill, this onboarding is already in progress. Carvill disclosed that the company has “welcomed a number of highly-specialized engineers in Oslo to our infrastructure team at Meta.” Furthermore, these experts will provide “deep expertise in the design and development of supercomputing systems.” This will help Meta Platforms advance “AI and machine learning at scale in Meta’s data centers.”

META Stock Could Rally as Meta Platforms Introduces New AI Tools

Maybe you’re still not sure whether META stock is actually a good way to gain exposure to AI. If you’re still skeptical, here’s a news item that out to convince you. Not long ago, Meta Platforms introduced its “AI Sandbox” to some advertisers for testing. Reportedly, Meta Platforms plans to start expanding access to this suite of AI tools in July.

Thus, you might see cutting-edge generative AI technology embedded within ads on Meta Platforms’ Facebook and Instagram apps very soon. With this innovation, Meta Platforms may be able to serve more “intelligent” ads. For instance, generative AI enhanced advertisements could include more customer-responsive and tailored text and images.

It’s encouraging to see that Meta Platforms is upping the ante with generative AI enhanced advertisements. Ads are effectively the lifeblood of Meta’s business model. The introduction of “AI Sandbox” tools shows that the company isn’t just playing the machine learning game. Rather, Meta Platforms is pushing the boundaries of the movement with next-gen ad technology.

Add AI Power to Your Portfolio With META Stock

Meta Platforms isn’t a pure, direct play for machine-learning industry investors. However, the company does appear to be increasing its involvement in AI.

Will Meta Platforms successfully deploy AI-enhanced advertisements in the coming months? This remains to be seen. Yet, there’s evidence that Meta is taking machine learning very seriously.

Over the long run, this should be bullish for META stock. Hence, if you’d like some indirect exposure to the AI field, feel free to consider a share position in Meta Platforms.

On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

David Moadel has provided compelling content – and crossed the occasional line – on behalf of Motley Fool, Crush the Street, Market Realist, TalkMarkets, TipRanks, Benzinga, and (of course) InvestorPlace.com. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets.

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