Meta Platforms (META) Launches AI Chatbot in Europe despite Regulatory Scrutiny
After more than a year of delays, social media giant Meta Platforms has finally launched its Meta AI chatbot in Europe. This move comes at a time when regulators are closely examining whether this new offering complies with the EU’s Digital Markets Act. Despite the regulatory challenges, Meta is pushing forward with the launch and aims to make the chatbot available in six European languages in the coming weeks.
Meta's goal with this launch is to align its AI services in Europe with those in the U.S. The company plans to gradually expand the availability of the chatbot, with plans to reach 41 European countries and 21 overseas territories.
Regulatory Hurdles and Delayed Launch
Meta acknowledged that navigating the regulatory landscape in Europe posed significant challenges, leading to the delayed launch of the AI chatbot. However, the company has now made the chatbot accessible for free across its platforms, including Facebook, Instagram, WhatsApp, and Messenger.
Since its introduction in the U.S. in 2023, Meta's AI technology has garnered over 700 million monthly active users, underscoring its growing importance to the company's overall strategy.
Increasing Pressure on Big Tech
This launch comes amidst mounting pressure on major U.S. tech firms from European regulators. Reports suggest that Meta, along with Apple and Google, are under scrutiny for potential violations of EU digital regulations. Google has recently faced allegations of non-compliance, while Apple has been urged to make adjustments to its practices.
In response to these regulatory challenges, U.S. President Donald Trump has raised the possibility of imposing tariffs on countries that penalize American tech companies. However, the EU has maintained that its enforcement actions are aimed at upholding fair competition standards, similar to those in the U.S.
Analyst Outlook on META Stock
Analysts have expressed confidence in META stock, with a Strong Buy consensus rating based on 44 Buy recommendations, three Holds, and one Sell in the past three months. The average price target for META is $763.71 per share, suggesting a potential upside of 28.2%.
For more information on META analyst ratings, you can view additional insights here.
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