CNBC AI Update: Sources say Meta is aiming to fully empower brands to leverage AI for ad creation by the end of next year.
Advertising remains the backbone of Meta’s financial performance. In 2024, advertising revenue accounted for over 97% of the company’s total income, highlighting its critical importance to the bottom line.
Meta’s ad platform currently offers AI tools that generate variations of existing ads, making minor adjustments and targeting them to users on Facebook and Instagram.
Meta is now setting its sights on enabling brands to develop entire ad concepts from scratch.
Utilizing the tools currently in development, brands will be able to showcase their product images and set their budgetary goals. The AI will then handle the entire advertising process, generating the visuals, videos, and textual content.
According to sources familiar with the matter, the system will then determine the optimal targeting for Instagram and Facebook users and provide suggestions for budget allocation.
Meta also intends to allow advertisers to use AI to personalize ads, delivering different versions of the same ad in real-time based on factors like location.
In related news, reports surfaced yesterday that Meta plans to increasingly rely on AI for assessing potential risks associated with its products, shifting away from manual review processes to expedite the assessment timeline.
Internal documents indicate that Meta aims for AI to handle up to 90% of its risk assessment tasks, including evaluations related to potential harms to adolescents and issues of “integrity,” which encompass a wide spectrum ranging from violent content to misinformation.
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