Meta Platforms has set ambitious goals to empower brands to create and target their advertisements using artificial intelligence (AI) tools by the close of next year, according to a report by the Wall Street Journal, which cited sources familiar with the development.
The company’s suite of applications boasts a combined total of 3.43 billion unique active users worldwide. Its AI-enhanced tools facilitate the creation of customized ad variations, selection of image backgrounds, and automatic adjustments to video advertisements, making it an appealing option for advertisers.
Advertisers would be able to input a product image along with a specified budget, allowing Meta’s AI to generate a complete ad—comprising image, video, and text—and optimize user targeting on both Instagram and Facebook, as well as offer budget recommendations, the report indicated.
Furthermore, Meta intends to enable advertisers to leverage AI for real-time personalization of ads, allowing different user demographics to view varied versions of the same ad based on parameters such as location.
The parent company of Facebook and Instagram, which derives the majority of its revenue from advertising, referenced CEO Mark Zuckerberg’s recent comments regarding the necessity for AI-driven advertisements to provide “measurable results at scale” in the near future when approached for a statement by Reuters.
Last week, Zuckerberg emphasized that the goal is to create an AI-centric platform that serves as a comprehensive solution for businesses, enabling them to set objectives, manage budgets, and streamline logistical processes through the platform.
In light of the intensifying competition within the advertising sector, social media companies, including Snap, Pinterest, and Reddit, are increasingly channeling investments into AI and machine learning technologies to draw in more advertisers.
Meta’s stock saw an increase of nearly one percent in early trading. In contrast, shares of major advertising firms Interpublic Group and Omnicom Group declined by 1.9 percent and 3.2 percent, respectively.
Publicis Groupe SA in France experienced a share drop of 3.8 percent, while WPP, which oversees agencies such as GroupM, Ogilvy, and VM, saw a dip of 2.2 percent in its US-listed shares.
Meanwhile, technology giants like Google and OpenAI have rolled out their own image and video generation AI tools. However, there remains uncertainty over their adoption in advertising, as marketers navigate concerns related to brand safety, creative control, and the overall quality of the generated content.
© Thomson Reuters 2025
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