Alphabet, Meta ad sales in Q4 unlikely to reflect gen AI investments

Despite the buzz over generative artificial intelligence last year, the technology’s impact on the advertising business of Alphabet and Meta Platforms is likely to be muted when the companies report fourth-quarter results this week, though investors are mapping out its future potential.

The search giant has rolled out AI tools that help advertisers target audiences in a less costly way and decide how their marketing budgets should be distributed across Google’s ad network. Facebook parent Meta is using generative AI to create different variations of ad campaigns.