OVERVIEW OF RECENT META CONNECT EVENT
Every year, Meta’s Connect event is a way for the company to promote its virtual reality (VR), augmented reality (AR), the metaverse, and increasingly AI products. The stakes are high, as is the competition: OpenAI, Google, Apple, Microsoft, and other giants are making big moves. Meta, under CEO Mark Zuckerberg, is pushing hard to keep pace or overtake in some areas. Investors, developers, and consumers will watch to see if this year’s Connect will deliver breakthroughs in AI software and VR/AR hardware.
- META INVESTMENT IN AI AND AGGRESSIVE MOVES
Meta has created a division called Meta Superintelligence Labs. It made a large investment of between $14–15 billion in Scale AI, acquiring roughly a 49% stake in that data-labelling / AI infrastructure startup. Meta has been aggressively recruiting AI talent from rivals. Those recruited include former OpenAI researchers, people from rival Anthropic and Google, and even a top AI executive from Apple with reported “tens of millions of dollars” compensation offers. The aggressive poaching of employees has drawn criticism from OpenAI CEO Sam Altman and others.
- META AI LINKED PRODUCTS
Meta continues work on its Llama series (large language models), multimodal AI, and AI features built into its apps, such as Facebook, Instagram, and Messenger. Meta’s Ray-Ban smart glasses, which could challenge and possibly replace the smartphone, have sold over 2 million units since they launched in 2023. Oakley Meta glasses are a technologically advanced model. The company is also developing voice-enabled AI, translation, and vision-assisted tools.
- WHAT CAN BE EXPECTED AT THIS YEAR’S META CONNECT EVENT
At this year’s Meta Connect event from September 17-18, Meta is expected to unveil new smart glasses or upgrades to Ray-Ban Meta with better displays and new AI features. There could also be new AR glasses with new AI features, such as a neural interface for gesture control. It’s unclear if any new mixed reality headset developments, i.e., Quest VR, will be revealed, but upgraded AI capabilities in existing hardware or new software tools could be promoted. The company is rumoured to be considering releasing affordable versions of hardware to increase adoption and attract new customers. It’s also possible that the company could announce the development of an entirely new product.
- MARKET REACTION TO PREVIOUS CONNECT EVENTS; HOW HAS THE STOCK PRICE RESPONDED?
Meta held an annual VR event before Meta Connect, but Connect began in 2021. Since 2021, according to Fortrade analysis, Meta’s stock price has risen on average by 4.67% from the starting price on the morning of the event to the next day’s price. The track record suggests that markets tend to respond positively to Meta’s strategic updates and product announcements. Last year at Meta Connect 2024, Meta unveiled the Meta Quest 3S, a more affordable mixed reality headset. Also shown were the prototype AR glasses “Orion” and improvements to Ray-Ban smart glasses. Meta shares rose about 2% during or just after the announcements at Connect 2024. Analysts last year (and in previous years) raised their price targets in response to successful Connect events.
- ZUCK, TRUMP POLITICS AND BUSINESS
It’s worth noting that analysts believe that Meta CEO has smartly dealt with President Trump’s administration by backing away from previous Meta policies associated with the Biden administration and working with Trump in the background. Tesla CEO Musk could provide an example of somebody who formed too close an association with President Trump and saw some Tesla customers abandoning his company as a result, while Musk’s public falling out with Trump has not been seen to benefit Tesla. On the other end, there is Apple CEO Cook, who has maintained distance from Trump and had to invest billions of dollars in order to eventually open manufacturing facilities in the US.
Conclusion
Meta Connect 2025 looks set to be more than just a showcase. With AI central to its strategy, and its aggressive poaching of top talent, Meta is trying to position itself to lead in the AI ‘revolution’: the market reaction will depend on traditional ‘smokes and mirrors’ to wow the public and investors, but also whether Meta is able to deliver accessible products in a timeframe.