{"id":648,"date":"2026-10-22T14:17:18","date_gmt":"2026-10-22T14:17:18","guid":{"rendered":"https:\/\/globalnigerianews.com\/index.php\/2026\/10\/22\/metas-ai-strategy-focused-on-muse-growth-as-legal-challenges-dent-earnings-national-globalnews-ca\/"},"modified":"2026-10-22T14:17:18","modified_gmt":"2026-10-22T14:17:18","slug":"metas-ai-strategy-focused-on-muse-growth-as-legal-challenges-dent-earnings-national-globalnews-ca","status":"publish","type":"post","link":"https:\/\/globalnigerianews.com\/index.php\/2026\/10\/22\/metas-ai-strategy-focused-on-muse-growth-as-legal-challenges-dent-earnings-national-globalnews-ca\/","title":{"rendered":"Meta\u2019s AI strategy focused on Muse growth as legal challenges dent earnings &#8211; National | Globalnews.ca"},"content":{"rendered":"<p><img decoding=\"async\" class=\"wpe_imgrss\" src=\"https:\/\/globalnigerianews.com\/wp-content\/uploads\/2026\/10\/Metas-AI-strategy-focused-on-Muse-growth-as-legal-challenges-dent-earnings-National-Globalnews.ca_.jpg\"><\/p>\n<p><a href=\"https:\/\/globalnews.ca\/tag\/meta\/\">Meta<\/a> CEO <a href=\"https:\/\/globalnews.ca\/tag\/mark-zuckerberg\">Mark Zuckerberg<\/a> said that more than 10 million people in the U.S. and Canada have set up <a href=\"https:\/\/globalnews.ca\/news\/12077192\/metas-ai-agent-muse-privacy\/\">Muse<\/a> accounts in a month and a half and growth remained strong, but the company\u2019s stock had a rough start Thursday in response as costly legal challenges mount.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/d21y75miwcfqoq.cloudfront.net\/70c8fc80\" alt=\"\" referrerpolicy=\"no-referrer-when-downgrade\"\/><\/p>\n<p>The company reported third-quarter earnings late Wednesday, with better than expected revenue at US$64.60 billion, ahead of Wall Street estimates of $63.37 billion, according to data compiled by LSEG. Meta also projected fourth quarter revenue between $73 billion and $76 billion, above estimates of $73.73 billion.<\/p>\n<p>After the results were released, Zuckerberg said on a conference call he expected Muse would eventually serve \u201cbillions of people\u201d who would potentially generate more revenue than the average Meta user, forecasting the venture would give rise to the kind of network effect that helped build his social media empire.<\/p>\n<p>\u201cPart of the reason why we\u2019re not just charging everyone up front to use this is we want to establish this Muse network, and we think that it\u2019s going to be more valuable for people at scale when there are a lot of people and businesses using Muse,\u201d said Zuckerberg.<\/p>\n<div class=\"c-ad c-ad--bigbox l-article__ad\" readability=\"32\">\n<p>Story continues below advertisement<\/p>\n<\/p><\/div>\n<p>In their financial report, Meta said they \u201cremain focused on improving Reality Labs profitability\u201d and forecast its losses would narrow next year to around $15 billion \u201cas we reallocate investment toward other priority areas, primarily AI.\u201d<\/p>\n<p>The early popularity of Muse and the release of a competitive new series of AI models have helped Meta justify its spending to investors, even though some enterprises are restricting the agent\u2019s access over security concerns.<\/p>\n<div class=\"c-inlineSignup\" data-newsletter-inline=\"\" readability=\"5.2635379061372\">\n<div class=\"c-inlineSignup__image\">\n\t\t\t\t<img width=\"170\" height=\"225\" loading=\"lazy\" data-src=\"https:\/\/globalnigerianews.com\/wp-content\/uploads\/2026\/10\/Metas-AI-strategy-focused-on-Muse-growth-as-legal-challenges-dent-earnings-National-Globalnews.ca_.jpg\" alt=\"Get daily Canada news delivered to your inbox so you'll never miss the day's top stories.\"\/>\n\t\t\t<\/div>\n<div class=\"c-inlineSignup__content\" readability=\"29.388086642599\">\n<h2 class=\"c-inlineSignup__title\">Get daily National news<\/h2>\n<p>Get daily Canada news delivered to your inbox so you&#8217;ll never miss the day&#8217;s top stories.<\/p>\n<\/p><\/div>\n<\/p><\/div>\n<p>\u201cThe market has shifted from punishing Meta for spending to rewarding it for having a compelling product story,\u201d said Jesse Cohen, senior analyst at Investing.com.<\/p>\n<div class=\"l-article__part\" data-shortcode=\"related_videos\">\n<div class=\"l-inlineStories l-inlineStories--video\">\n<p>\n\t\t\t\t\t\t<span class=\"l-inlineStories__title\">Related Videos<\/span>\n\t\t\t\t\t<\/p>\n<section id=\"miniplayer-carousel\" class=\"l-videoCarousel l-videoCarousel--embed c-carousel\" data-video-carousel-play-inline=\"true\" data-video-carousel-init=\"false\" aria-label=\"Video carousel contains 5 videos.\">\n<div class=\"l-videoCarousel__inner\">\n<div class=\"l-videoCarousel__featured\">\n<div class=\"c-video c-videoPlay \" data-iframe-receiver=\"\" data-autoplay=\"\" data-displayinline-featured=\"true\" data-displayinline-type=\"video\" data-displayinline-player-id=\"miniplayer\" data-displayinline-video-id=\"12080186\" data-displayinline-ratio=\"16:9\" data-displayinline=\"https:\/\/globalnews.ca\/video\/embed\/playlist\/12080186,12056695,12038319,12037908,12036751\/?poster=https%3A%2F%2Fi0.wp.com%2Fmedia.globalnews.ca%2Fvideostatic%2Fnews%2Fe3vt274tdq-phjc7986wx%2Freggie-web.jpg%3Fw%3D1200%26quality%3D70%26strip%3Dall#autoplay&amp;stickyiframe=miniplayer\" data-displayinline-playlist=\"12080186,12056695,12038319,12037908,12036751\" data-displayinline-sticky=\"true\" data-permutive-data=\"{&quot;content&quot;:{&quot;name&quot;:&quot;Trump hosts AI leaders as advocates call for slowdown in development&quot;,&quot;type&quot;:&quot;video&quot;,&quot;sections&quot;:[&quot;videos&quot;,&quot;national&quot;,&quot;politics&quot;,&quot;tech&quot;,&quot;us-news&quot;],&quot;keywords&quot;:[&quot;ai&quot;,&quot;dario&quot;,&quot;google&quot;,&quot;jensen&quot;,&quot;meta&quot;,&quot;musk&quot;,&quot;openai&quot;,&quot;regulation&quot;,&quot;short-clip&quot;,&quot;trump&quot;,&quot;zuckerberg&quot;],&quot;iab&quot;:{&quot;categories&quot;:[&quot;Business and Industrial&quot;],&quot;tags&quot;:[&quot;AI agent&quot;,&quot;Alberta&quot;,&quot;Anthropic&quot;,&quot;Artificial intelligence&quot;,&quot;Cambridge Analytica&quot;,&quot;Canada&quot;,&quot;Cash flow&quot;,&quot;Company&quot;,&quot;Data center&quot;,&quot;Diversification (finance)&quot;,&quot;Earnings per share&quot;,&quot;Free cash flow&quot;,&quot;Investing.com&quot;,&quot;Investment&quot;,&quot;Investor&quot;,&quot;Mark Zuckerberg&quot;,&quot;Meta Platforms&quot;,&quot;Metaverse&quot;,&quot;Network effect&quot;,&quot;Northern Alberta&quot;,&quot;OpenAI&quot;,&quot;Pembina Institute&quot;,&quot;Privacy&quot;,&quot;Profit (economics)&quot;,&quot;Rates (tax)&quot;,&quot;Reality Labs&quot;,&quot;Revenue&quot;,&quot;Stock&quot;,&quot;Trial&quot;,&quot;U.S. state&quot;,&quot;United States&quot;,&quot;Wall Street&quot;]}}}\">\n<div class=\"c-video__inner \">\n\t\t\t\t\t<span class=\"c-video__placeholder\" readability=\"1\"><br \/>\n\t\t\t\t\t\t<img class=\"c-video__image\" alt=\"Click to play video: 'Trump hosts AI leaders as advocates call for slowdown in development'\" width=\"640\" height=\"360\" data-src=\"https:\/\/globalnigerianews.com\/wp-content\/uploads\/2026\/10\/Metas-AI-strategy-focused-on-Muse-growth-as-legal-challenges-dent-earnings-National-Globalnews.ca_-1.jpg\" loading=\"lazy\" srcset=\"\" sizes=\"auto, \" data-srcset=\"https:\/\/i0.wp.com\/media.globalnews.ca\/videostatic\/news\/e3vt274tdq-phjc7986wx\/reggie-web.jpg?quality=70&amp;strip=all&amp;w=450 450w,https:\/\/i0.wp.com\/media.globalnews.ca\/videostatic\/news\/e3vt274tdq-phjc7986wx\/reggie-web.jpg?quality=70&amp;strip=all&amp;w=720 720w,https:\/\/i0.wp.com\/media.globalnews.ca\/videostatic\/news\/e3vt274tdq-phjc7986wx\/reggie-web.jpg?quality=70&amp;strip=all&amp;w=1040 1040w,\" data-sizes=\"(min-width: 1040px) 1040px,(min-width: 720px) 720px,450px\"\/><br \/>\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"c-video__overlay\" readability=\"2\"><\/p>\n<p>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<time class=\"c-video__duration\">1:53<\/time><br \/>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"c-video__title\">Trump hosts AI leaders as advocates call for slowdown in development<\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/p>\n<p>\t\t\t\t\t\t<\/span><br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t<\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div class=\"l-videoCarousel__glide glide \">\n<div class=\"glide__arrows c-carousel__buttons l-videoCarousel__buttons\" data-glide-el=\"controls\">\n\t<button class=\"glide__arrow glide__arrow--left c-carousel__button c-carousel__prev l-videoCarousel__button l-videoCarousel__prev c-longform-gallery__prev\" data-glide-dir=\"&lt;\"><\/p>\n<p>\t\t<span class=\"sr-only\">Previous Video<\/span><br \/>\n\t<\/button><br \/>\n\t<button class=\"glide__arrow glide__arrow--right c-carousel__button c-carousel__next l-videoCarousel__button l-videoCarousel__next c-longform-gallery__next\" data-glide-dir=\"&gt;\"><\/p>\n<p>\t\t<span class=\"sr-only\">Next Video<\/span><br \/>\n\t<\/button><br \/>\n\t\t<button class=\"c-carousel__goto\" data-glide-dir=\"=0\" aria-hidden=\"true\" tabindex=\"-1\"\/>\n\t<\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>\t\t<!-- video stream item --><\/p>\n<\/section><\/div>\n<\/p><\/div>\n<p>Still, Zuckerberg acknowledged that the costs of offering Muse were higher than those associated with many of Meta\u2019s other new products over the years, and said the company would move to monetize the agent \u201csomewhat sooner on this than our normal playbook.\u201d<\/p>\n<div class=\"c-ad c-ad--bigbox l-article__ad\" readability=\"32\">\n<p>Story continues below advertisement<\/p>\n<\/p><\/div>\n<p>Meta CFO Susan Li forecast the company\u2019s AI businesses would begin contributing incremental revenue in 2027 and become \u201ca meaningful source of revenue diversification over time.\u201d<\/p>\n<p>The executives also emphasized that AI would be the focus moving forward for Meta\u2019s loss-making Reality Labs unit, which had led the charge on the company\u2019s vision to build the \u201cmetaverse,\u201d an immersive digital world that inspired its name change from Facebook to Meta in 2021.<\/p>\n<p>Meta introduced new non-voting shares on Wednesday to help fund the social media giant\u2019s costly AI expansion, as executives laid out their vision for organizing the company\u2019s future around its nascent AI agent business.<\/p>\n<div class=\"c-tabs\">\n<p>\n\t\t\t<button role=\"tab\" class=\"c-tabs__tab c-tabs__tab--active\" type=\"button\">More on Tech<\/button><br \/>\n\t\t\t<button role=\"tab\" class=\"c-tabs__tab\" type=\"button\">More videos<\/button>\n\t\t<\/p>\n<\/p><\/div>\n<p>The company has been pouring money into advanced chips and data centres to compete more aggressively with AI market leaders OpenAI and Anthropic, propelling it to the vanguard of an emerging consumer AI agent race while also eroding its historically strong free cash flow.<\/p>\n<p>Shares of the Facebook and Instagram parent plummeted more than six per cent as trading commenced Thursday on Wall Street as investors shifted their focus to the company\u2019s legal issues.<\/p>\n<p>Legal challenges are mounting, including <a href=\"https:\/\/globalnews.ca\/news\/12112144\/meta-new-mexico-lawsuit\/\">a $25 billion penalty ordered by a judge in New Mexico earlier on Wednesday<\/a> after a jury found Meta misled the state\u2019s residents about \u200bhow it shared user data with third parties and enforced policies on hate speech and misinformation in a case related to British political consulting firm Cambridge Analytica.<\/p>\n<div class=\"c-ad c-ad--bigbox l-article__ad\" readability=\"32\">\n<p>Story continues below advertisement<\/p>\n<\/p><\/div>\n<p>The $25 billion penalty is a \u201cstark reminder of the current legal challenges Meta faces, which will continue into next year,\u201d Emarketer senior analyst Minda Smiley said.<\/p>\n<p>\u201cQuestions and concerns related to privacy and safety will only ramp up should AI agents become more mainstream, which could ultimately hurt Meta considering its reputation in this area.\u201d<\/p>\n<p>In August, <a href=\"https:\/\/globalnews.ca\/news\/12035636\/meta-settlement-lawsuit\/\">Meta agreed to pay as much as $18 billion over a decade<\/a> and restrict teenagers\u2019 use of Facebook and Instagram to settle claims by nearly all U.S. states alleging that Meta\u2019s platforms were designed to addict children.<\/p>\n<p>Meta posted diluted earnings per share of $3.83 in the quarter, a figure that would have been $7.40 had it not been for a $9.89 billion charge related to the August settlement.<\/p>\n<p>The agreement removed a significant regulatory hurdle that had weighed on Meta\u2019s stock and allowed the company to avoid a potentially lengthy trial that could have exposed more internal documents about its treatment of young users.<\/p>\n<p>Still, Meta warned in its guidance on Wednesday that it continued to face scrutiny and U.S. trials around \u201cyouth-related issues\u201d that could impact its financial results.<\/p>\n<p>Source: <\/p>\n<div class=\"nSourse\">: World<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Meta CEO Mark Zuckerberg said that more than 10 million people in the U.S. and Canada have set up Muse accounts in a month and a half and growth remained&hellip; <\/p>\n","protected":false},"author":1,"featured_media":649,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[],"class_list":["post-648","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-world-news"],"_links":{"self":[{"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/posts\/648","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/comments?post=648"}],"version-history":[{"count":0,"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/posts\/648\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/media\/649"}],"wp:attachment":[{"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/media?parent=648"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/categories?post=648"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/globalnigerianews.com\/index.php\/wp-json\/wp\/v2\/tags?post=648"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}