Facebook Launches Search Engine AI Tool That Could Make Meta $10 Billion A Year, Analyst Says
Facebook Launches Search Engine AI Tool That Could Make Meta $10 Billion A Year, Analyst Says
Publish Date: 2026-06-15 15:01:00
Source Domain: www.forbes.com
Topline
A suite of new artificial intelligence-powered features released by Meta on Monday will allow people to use Facebook as a search engine and content generation tool in such a way that could generate more than $10 billion in annual revenue for Meta if it takes off, according to a Morgan Stanley analyst.
The new Meta AI (Muse Spark) logo.
SOPA Images/LightRocket via Getty Images
Key Facts
Meta launched “AI Mode” inside Facebook Search on Monday, which will answer search queries using Meta AI and return answers drawn from public content across Groups and Reels, rather than surfacing a “generic” list of search results, the company said.
The search tool is powered by Muse Spark, the AI model Meta debuted in April and the first major model developed by Meta Superintelligence Labs, which is headed by former Scale AI CEO Alexandr Wang.
If the new tool is able to retain 1 billion users—about a third of Facebook’s monthly active users worldwide—and monetizes just 10% of daily queries, it could easily generate over $10 billion in annual revenue for Meta, according to Morgan Stanley analyst Brian Nowak.
Monday’s rollout also includes new AI-assisted photo and video editing capabilities including collage cutout templates, video transition effects and photo presets that let users change their clothing, hair and accessories in photos.
Meta shares climbed nearly 5% to just short of $595 as of 2:45 p.m. EDT on Monday afternoon, though the stock is still down about 8% year-to-date.
WHAT WE DON’T KNOW
How exactly Meta’s new AI Mode is sourcing its search results. The company says it will “give you answers grounded in what people are saying publicly across our apps like in Groups and Reels,” but doesn’t address exactly how its algorithm is weighing sources or how it will combat misinformation, which has plagued Facebook for years. Forbes has reached out to Meta for more information.
Key background
Meta has been embedding its Meta AI assistant across…
