The introduction of PTP reflects Meta Platforms’ strategy to develop better experiences across its family of apps and invest in technologies that generate the majority of its revenue. In Q3, the app family generated his 99% of total revenue.
PTP improves timing accuracy and benefits all of Meta’s technologies, from messaging on social media platforms to playing games with international audiences. This improves user experience and helps you retain users in the midst of fierce competition.
Deploying PTP also helps synchronize graphics processing units (GPUs) across data centers. This is very important in growing META’s artificial intelligence (AI) capabilities, which the company has greatly contributed to revenue growth and building the Metaverse.
Expanding AI Capabilities to Build the Metaverse
Mark Zuckerberg’s bold ambition to reinvent the Meta Platform as a company operating primarily in the Metaverse has faced many challenges. The company is facing its worst recession in years, hurting revenue growth from its advertising business segment.
META’s top-line growth in Q3 was impacted by geopolitical tensions such as the war between Russia and Ukraine, which saw a decline in monthly active users across app families such as Facebook and Instagram.
Rising inflation has also hit corporate advertising spending budgets, weighing on the company’s advertising revenue in the last reported quarter.
Apple’s iOS changes made targeting ads more difficult and costly to deliver results. Meta Platforms’ advertising revenue declined 3.7% year-over-year to $27.24 billion in the third quarter, and we expect these factors to hurt advertising growth in the fourth quarter of 2022.
These reasons have negatively impacted the stock, as it has fallen 67.4% year-to-date compared to Sachs. computer and technology A 32.2% drop in the sector over the same period.
However, in an effort to reverse the tide and re-grow ad revenue, Meta Platforms, which currently holds Zacks rank 3 (hold), is investing heavily in AI and machine learning (ML) to support its ad infrastructure. I am investing.you can see Here is the complete list of today’s #1 (strong buy) Zachs stocks..
One of the most important factors contributing to the growth of Meta Platforms AI technology is our partnership with the co-founders of the PyTorch Foundation. NVIDIA (NVDA – free report) When Advanced Micro Devices (AMD – free report) develop and design the network systems and AI models required for the metaverse.
AMD has worked with META as an ecosystem partner to build a Metaverse-ready Radio Access Unit (RAN). AMD’s radio chip Xilinx Zynq UltraScale RFSoC will be used to develop multiple Evenstar Radio Units (RUs) to extend the 4G/5G mobile network infrastructure critical to the Metaverse.
Meta Platforms is collaborating with NVIDIA to build an AI research supercomputer to help META AI researchers build the various AI models essential to creating the Metaverse.
AI and ML are very important to the company as they help drive business growth. As such, the company is making strategic investments in new technologies and building partnerships to develop the Metaverse.