Zuckerberg's Meta to release direct competitor to OpenAI's ChatGPT
Mark Zuckerberg's Meta is set to develop its own standalone AI app to compete with OpenAI's ChatGPT, according to media reports. Citing sources familiar with the matter, CNBC reported that the app, called Meta AI, will be released during the second quarter of 2025 and is part of the company's plans to become a leader in Artificial Intelligence by the end of the year. Its competitors include names such as the Sam Altman-led OpenAI and Google's parent company, Alphabet.
Meta AI Development and Chatbot Release
The Meta AI chatbot was released in 2023 as a virtual assistant that makes use of large language models. The reported upcoming release will be of a standalone app, which will sit alongside the company's other apps, such as Facebook, Instagram, and WhatsApp. Meanwhile, a paid subscription service allowing users to access more advanced versions of the chatbot will begin testing in the second quarter of the year, according to Reuters, with no meaningful revenue expected to be earned until at least next year.
Legal Issues and European Regulatory Spotlight
An exclusive Euronews report this week found that Meta is under the European regulatory spotlight for potentially breaching European consumers' data protection rules. Some 5,000 Facebook users filed complaints in Germany, Norway, and Spain over the use of their personal data for marketing purposes, which were transferred to the Irish data protection authority where Facebook has its headquarters.
In relation to its AI model development in particular, Meta faced complaints in 11 European countries in mid-2024. Legal action was launched after Meta updated its privacy policy asking to take all public and non-public user data since 2007 and use it for current and future artificial intelligence technology.
AI Expansion and Financial Investments
In January, CEO Mark Zuckerberg announced that the company would spend between $60 and $65 billion this year to fuel its AI expansion. Meta on Thursday said it had laid off 20 workers for leaking information to the media, as the social media giant faces pressure over the recent political shift of its boss Mark Zuckerberg towards US President Donald Trump.
OpenAI's Developments
OpenAI announced the launch of GPT-4.5, its largest model to date, trained using more computing power and data than any of the company's previous releases. As for other ChatGPT users, customers signed up for ChatGPT Plus and ChatGPT Team should get the model sometime next week. OpenAI is rolling out an early version of the AI model called GPT-4.5 to select users after hitting stumbling blocks in developing the AI system last year.
Closure of Skype by Microsoft
Microsoft announced the retirement of Skype in May and the shift of some of its services to Microsoft Teams, its flagship video conferencing and team applications platform. The decision reflects the tech giant's desire to streamline its main communications app as it faces a host of competitors.
With these developments in the AI landscape and the competitive market, the future of AI applications and platforms is poised for significant advancements and innovations.

AI Expansion and Financial Investments
In January, CEO Mark Zuckerberg announced that the company would spend between $60 and $65 billion this year to fuel its AI expansion. Meta on Thursday said it had laid off 20 workers for leaking information to the media, as the social media giant faces pressure over the recent political shift of its boss Mark Zuckerberg towards US President Donald Trump.