Meta Platforms Inc.
Muse Wonder Broadens Meta's AI Push
Meta introduced Muse Wonder and Muse Wonder Full, its latest AI models. The company said the models match or exceed the capabilities of current frontier models.Muse Wonder is available through the Meta Model API and Muse Code, while Muse Wonder Full is available to Muse Code subscribers. Meta also plans to use Muse Wonder to power Meta Muse, initially for paid subscribers.
Jones said the launch strengthens Meta's position in the competition among leading AI developers.
He said the models primarily target developers and enterprises, supporting Meta's broader effort to expand into business customers following the creation of Meta Enterprise Platform.
Jones Sees Long-Term Monetization Beyond Ads
Jones said Meta's rapid pace of product launches creates another path to monetize its AI investments outside its core advertising business.
BNP Paribas said the near- to medium-term revenue contribution from Muse Wonder and other recent products remains unclear.
However, Jones believes Meta can generate enough long-term revenue from these products to support its substantial AI spending.
The firm is now looking to Meta's third-quarter earnings call for early adoption trends.
Jones also plans to monitor third-party data to determine whether the new models are increasing engagement and usage of Meta Muse.
BNP Paribas' $885 price forecast leaves Jones constructive on Meta's longer-term ability to convert AI investment into additional revenue, even though the timing and size of near-term contributions remain uncertain.
META Price Action: Meta Platforms shares were up 2.67% at $762.79 at the time of publication on Tuesday. The stock is approaching its 52-week high of $779.81, according to Benzinga Pro data.
