- Meta lost around 60% value in 2022.
- They are entering the artificial intelligence arena this year.
Recent earnings call points out that Mark Zuckerberg is finally getting aware of how the company has lost value since they shifted their focus to the metaverse. He revealed during a recent earnings call that they will focus on artificial intelligence for some time. However, he pointed out that metaverse will still remain their long term priority.
Meta to Focus on AI For Some Time
Zuck Bucks believes that AI technology will enable them to develop new products in the future. Moreover, he said that “Mixed reality is still in its infancy but they are really setting the standard for the industry with their Reality Systems.” He added that the company wants to deliver a better social experience to their users considering technology’s potential to grow at mass in coming years.
The AI war has already started considering Microsoft and Google have already entered the arena. The latter had to face a lot of criticisms after their latest artificial intelligence product, BARD, failed to answer a question correctly. After the earnings call, it appears like Meta may soon come up with an innovative solution in the market. The company already has a text-to-video generating platform dubbed Make-A-Video.
We discussed that Microsoft might be on its way to integrate artificial intelligence with the metaverse. As virtual spaces will include virtual avatars powered by AI, the company might have an upper hand here considering their $69 Billion deal to acquire Activision Blizzard and a $10 Billion investment in OpenAI, the brains behind ChatGPT.
With Meta potentially shifting their focus on artificial intelligence, it may surface as a tough competition to Microsoft in this sector. Furthermore, this may prove to be a huge opportunity for the social media giant to recover from the financial blow last year. The company lost over 60% value during 2022, bringing the stock value down from over 300 USD to below $100 in November.
However, they have partially recovered the loss considering META stock is changing hands at 174.15 USD at the time of writing. Data shows that the company shares have gained over 30% in a month. Analysts at TradingView holds a maximum forecast of 275 USD and a minimum expectation of price falling to 80 USD by the year’s end.
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Source: https://www.thecoinrepublic.com/2023/02/12/is-mark-zuckerberg-finally-stepping-up-for-metas-damage-control/