Meta Platforms Shifts AI Strategy to Closed Models, Implications for Investors
ByAinvest
Tuesday, Dec 16, 2025 11:18 pm ET1min read
META--
Meta Platforms is considering a pivot to closed AI models, like "Avocado," which could incorporate tech from Chinese companies, including Alibaba Group. This shift in strategy would be a departure from open-source models like Llama and could provide Meta with more opportunities for commercialization. However, investors are concerned about this move, causing META stock to dip slightly. The stock currently trades at a P/E ratio of 28.5, which is higher than its historical average.
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