1. Meta Platforms, Inc. (NASDAQ:META)
Number of Hedge Fund Investors: 235
Meta Platforms, Inc. (NASDAQ:META) is a global technology company. On January 10, Reuters reported that a group of authors alleged that Meta Platforms used pirated versions of copyrighted books to train its artificial intelligence systems. They also alleged that this has been done with approval from its CEO, Mark Zuckerberg, as revealed by newly disclosed court papers. Some of the authors suing Meta for copyright infringement include Ta-Nehisi Coates and comedian Sarah Silverman. The accusations, in filings made public on Wednesday in California federal court, revealed that the authors have claimed that the internal documents produced by Meta during the discovery process showed the company knew the works were pirated. Asking for permission to file an updated complaint, the authors said that the new evidence showed Meta used the AI training dataset LibGen. LibGen allegedly contains millions of pirated works that are distributed through peer-to-peer torrents. Internal communication from Meta showed Zuckerberg “approved Meta’s use of the LibGen dataset notwithstanding concerns within Meta’s AI executive team (and others at Meta) that LibGen is ‘a dataset we know to be pirated”, the authors further claimed.
While we acknowledge the potential of META as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than META but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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