Key Takeaways
- Meta plans to enable brands to fully create and target ads using artificial intelligence by the end of next year.
- Brands could simply provide a product image and budget, and Meta’s AI would generate the entire ad campaign, including visuals, text, and targeting.
- AI will also personalize ads in real-time, showing different versions to users based on factors like their location.
- This development saw Meta’s shares rise, while stocks of major advertising agencies dipped, signaling potential shifts in the ad industry.
Meta Platforms is aiming to empower brands to develop and direct their advertising campaigns entirely through artificial intelligence tools by the end of next year.
This ambition was reported by the Wall Street Journal, citing individuals familiar with the company’s plans, with Reuters relaying the information.
The concept is straightforward: a brand could supply a product image and set a budget. From there, Meta’s AI would craft the advertisement—spanning images, video, and text—and then identify the best audience on Instagram and Facebook, even suggesting how to allocate the budget.
Meta also intends to use AI to customize ads dynamically. This means users might see different variations of the same ad in real time, influenced by elements such as their current geographical location.
The company, which derives most of its revenue from ad sales, referred to CEO Mark Zuckerberg’s public statements on AI-driven advertising when asked for comment. Last week, Zuckerberg highlighted that advertisers are seeking AI solutions that provide “measurable results at scale” in the near future.
He also expressed Meta’s goal to build an AI “one-stop shop” where businesses can define their objectives and budgets, leaving the platform to manage the operational details of their campaigns.
Meta isn’t alone in this AI push. Social media platforms like Snap, Pinterest, and Reddit are also heavily investing in AI and machine learning to attract advertisers in an increasingly competitive market.
News of Meta’s plans appeared to affect market sentiment. While Meta’s shares edged up nearly 1%, stocks for advertising giants like Interpublic Group, Omnicom Group, Publicis Groupe, and WPP all experienced declines.
Other technology firms, including Google and OpenAI, have also introduced AI tools for generating video and images. However, their widespread adoption in advertising is still uncertain as marketers weigh concerns about brand safety, maintaining creative control, and the overall quality of AI-generated content.
