Meta Platforms Develops AI-Powered Search Engine to Reduce Dependence on Google and Microsoft

Meta Platforms Inc (META) is currently developing an AI-powered search engine as part of its strategy to lessen its reliance on major tech companies, specifically Alphabet Inc (GOOGL) and Microsoft Corp (MSFT).

What To Know: According to a report by The Information, Meta is creating an AI-driven search engine that will scour the internet for answers and provide users with information through the Meta AI chatbot.

This initiative is seen as a key move to reduce Meta's current dependence on Google's and Bing's search capabilities for providing information to its Meta AI users, especially concerning topics like news, sports, and stocks.

Insights from a source close to the search engine team indicate that Meta's upcoming AI search engine will focus on delivering conversational responses related to current events.

Additionally, not long ago, reports suggested that Meta has signed an agreement with Reuters to utilize their content for real-time user queries.

Financial Updates: Meta is set to announce its third-quarter financial results after the market closes on Wednesday. Analysts project that the company will report earnings of $5.24 per share alongside revenue figures of $40.268 billion.

In the previous quarter, Meta managed to surpass analyst expectations, achieving an 11% increase in revenue compared to the previous year, along with a 7% rise in daily active users. During their earnings release, Meta claimed that Meta AI is on track to become the world's most utilized AI assistant by year-end.

Heading into Wednesday’s earnings report, Meta has consistently edged past analyst projections on both revenue and earnings for six consecutive quarters, as reported by Benzinga Pro.

Price Action: As of Monday, Meta Platforms’ stock experienced a slight increase of 0.82%, reaching $577.95 according to Benzinga Pro.

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AI, Search, Meta