Meta Muse Image: AI Boosts Ad Business & Stock

Meta Platforms has launched a new artificial intelligence image generation model called Muse Image. This move aims to expand its generative AI tools, attract creators and advertisers, and boost AI's commercial use in advertising. Here's the thing: Meta's stock closed up 2.55% on the news. Muse Image was initially codenamed Mango and is the second major model from Meta’s Super Intelligence Lab. The lab previously released the Muse Spark large language model. Meta plans to reduce reliance on third-party AI tech with its own models. General users can access Muse Image for free via the Meta AI app, website, WhatsApp, and Instagram Stories. Heavy users needing more images or advanced features require a Meta One subscription, launched in May. What's interesting is Muse Image will also integrate into Meta’s AI advertising tools for advertisers, becoming part of the Advantage Plus service. It can adjust image elements and generate variations for ad creatives. Advertisers will see these features in the coming weeks. Meta's internal tests show Muse Image underperforms OpenAI’s latest GPT Image 2 in some editing but outperforms Google’s Nano Banana 2, especially in single and multi-image editing. The company also plans an AI video generation model, Muse Video, for the future. Muse Image will expand to Facebook, Messenger, and more Instagram and WhatsApp functions later this year. This shows Meta is deeply embedding AI into its core business and exploring new commercial paths.