Meta to Take Years Before Generating Money From AI - Zuckerberg

Meta CEO Mark Zuckerberg said the company has taken the long road as regards monetizing generative AI during a meeting with investment on Wednesday. 

Despite recently integrating its ChatGPT competitor, Meta AI, across its platforms, Zuckerberg emphasized that profitability from this technology will take "several years."

Meta, already boasting strong financials with a net income surpassing $12 billion, anticipates a slowdown in revenue growth. This comes as the company invests heavily in AI and the metaverse.

"Historically, investing in new experiences has been a successful strategy for Meta and our investors," Zuckerberg said, referencing past rollouts like Stories and Reels. "Early signs for AI are positive, but building the leading AI will be a larger undertaking and take several years."

He highlighted the millions who have "tried" Meta AI since its launch, a figure likely inflated by its prominent placement in features like the Instagram search bar. The true test, he stated, lies in user retention and their willingness to use an AI assistant within social media apps.

Meta envisions multiple revenue streams for its currently free AI assistant. These include, according to Zuckerberg, "scaling business messaging, introducing ads or paid content, and offering access to bigger AI models for a fee."

Additionally, AI is expected to enhance user engagement, leading to more ad impressions and improved ad targeting.

Zuckerberg hinted at using Meta AI user data to refine ad targeting, implying a strategy distinct from OpenAI's focus on subscriptions and enterprise solutions while avoiding advertising.

Beyond generative AI, Zuckerberg expressed enthusiasm for the company's Ray-Ban smart glasses. He reported successful sales across styles and colours, praising the recently integrated multimodal AI feature.

"I previously thought AR glasses required full holographic displays for mainstream appeal," he admitted. "However, it seems there's a strong market for fashionable AI glasses without a display."