For Meta, being at the forefront of pretty much every technology trend is central to its identity and competitive advantage. So let’s take a look at where it stands in relation to AI, arguably the most relevant technology currently in play when it comes to opportunities for firms to grow. 

In pursuit of such benefits, Meta has indicated its plans to expand its Advantage+ tools and integrate optimization features into advertising platforms. It hosts a convention for AI enthusiasts, and it highlights the substantial increase in the number of advertising clients using its AI suite.

But Meta, along with several other large tech companies, has expressed frustration with the regulatory constraints imposed by the United Kingdom and European Union, as well as their allegedly inconsistent policies surrounding the use of AI. As a result, Meta chose to pause its rollout of a virtual assistant and smart glasses in these regions, even as it went forward with the North American and Australian launches.

Beyond confusion and uncertainty, Meta also suffered a blow when the European Commission found the company in violation of the Digital Markets Act. According to the complaint, Meta’s service model, which required users to pay for an ad-free experience or opt-in to data collection to receive tailored advertisements, represented an unfair form of consent. Meta argued that regulations along these lines would harm users, by degrading its interface capabilities, because without access to user data, it could not meet the efficiency and personalized standards that users demand from its social media platforms.

Confronted with both a compelling need to increase its reliance on AI and regulatory conditions that make such moves difficult and uncertain, Meta has gone on the offensive, challenging the rulings and noting its plans to appeal. But the ongoing discrepancy highlights the ways that even the most technologically advanced firms have yet to establish a clear AI policy.

Discussion Questions

1. Perform a SWOT analysis of Meta’s uses of AI. 
2. What should the requirements for gaining user consent consist of? What makes consent requests fair, or not?

Sources: Chris Kelly, “Meta’s Ad Biz Stays Strong but Economic, Regulatory Uncertainty Looms,” Marketing Dive, May 1, 2025; Jamie Young, “Meta Delays AI Launch in UK and EU Amid Regulatory Uncertainty,” Business Magazine, Sep 26, 2024; “Meta’s Statement in Response to the European Commission’s Decision on the Digital Markets Act,” Meta, April 23, 2025.