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Meta's $14B AI push yields Muse Spark model but struggles to compete with OpenAI and Google.

Market News
14 Jun 2026
CNBC
View Source
Neutral
pluang ai news

Meta invested over $14 billion to revamp its AI efforts by hiring Alexandr Wang and his team, resulting in the launch of the Muse Spark AI model in April. This model marks Meta's shift from open-source AI to proprietary technology aimed at integrating AI into its apps and devices. Despite this, Meta's stock has underperformed, and the company faces skepticism from developers and investors about its ability to monetize AI beyond enhancing ads. Meta must prove it can attract paying users and grow AI-first products to compete with leaders like OpenAI, Anthropic, and Google. Challenges include regaining developer trust, internal pressures to deliver revenue growth, and overcoming past strategic missteps.

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