Meta Platforms, Inc. Faces New EU Antitrust Charges and Daily Fines Despite Refusal to Revise 'Pay-or-Consent' Model.

Meta Platforms, Inc. (META) is unlikely to revise its "pay-or-consent" data model despite EU pressure and risk of new fines. The company is racing toward AI development with the hiring of AI researchers from OpenAI and Google. Analysts expect an EPS of $5.74 per share (+11.2%) for Q2 2025 and full-year EPS at $25.35. Certain AI stocks offer greater upside potential and carry less downside risk.

Meta Platforms, Inc. (NASDAQ:META), known for its AI infrastructure, is set to face new EU antitrust charges and substantial daily fines starting June 27. The company has been unwilling to make changes to its 'pay-or-consent' data model, which the European Commission previously claimed breached the Digital Markets Act, leading to a $234 million penalty [1].

Despite the looming fines, META is actively pursuing AI development. The company has hired AI researchers from OpenAI and Google, and Apple's top executive for AI models is moving to META. These moves indicate the company's commitment to advancing in the AI race [1].

Analysts expect META's Q2 2025 earnings to show an EPS of $5.74 per share (+11.2%) and a full-year EPS of $25.35. However, the company's stock has shown a 1.3% decline following the recent update [1].

While META's AI talent acquisition and earnings projections are promising, certain AI stocks may offer greater upside potential and carry less downside risk. Investors are advised to consider these factors when making investment decisions.

References:
[1] https://finviz.com/news/106459/meta-platforms-inc-meta-unlikely-to-revise-pay-or-consent-model-despite-eu-pressure-and-risk-of-new-fines