As Meta's Revenues Decline, Alphabet Advances

Meta Platforms Inc. (META) shares experienced a serious decline as concerns over the technology giant's excessive spending on artificial intelligence (AI) reignited following its third-quarter earnings. Meanwhile, Alphabet Inc. (GOOG, GOOGL) shares rose due to the company’s strong performance in cloud services.

RBC Capital Markets equity analyst Brad Erickson highlights three important steps that companies need to take to boost investor confidence in artificial intelligence. The analyst notes that, unlike Meta, Alphabet has successfully met all three criteria.