Meta Stock Surges: Poaches OpenAI Talent & Crushes AI Copyright Lawsuit in Landmark Win
Meta just pulled off a double coup—snagging top AI researchers from OpenAI while dodging a legal bullet in a high-stakes copyright battle. The tech giant's stock is primed for a rally as it consolidates power in the AI arms race.
Silicon Valley's talent wars heat up
Meta's aggressive hiring spree targets OpenAI's brain trust, signaling an all-in bet on generative AI. Meanwhile, the courtroom victory sets a precedent that'll have IP lawyers rewriting playbooks—and shareholders counting their paper gains.
Another win for the Zuckerverse
While regulators scramble to keep up, Meta's legal and talent maneuvers prove it's playing 4D chess. Cynics note the timing—just before earnings season, naturally—but the market's already voting with its wallet. Another case of 'move fast and break things,' now with fewer consequences.
Confident Investing Starts Here:
- Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions
- Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter
Meta Secures OpenAI Talent
According to the Wall Street Journal, Meta’s CEO Mark Zuckerberg has hired three OpenAI researchers, Lucas Beyer, Alexander Kolesnikov, and Xiaohua Zhai, to help drive the company’s superintelligence efforts. The aggressive talent grab comes after a lukewarm reception to Meta’s latest AI model, prompting the company to offer sky-high incentives, reportedly up to $100 million, to lure top talent in the field. A spokesperson for OpenAI confirmed that these three researchers have officially left the company.
Zuckerberg has intensified the company’s AI push, recently investing $14.3 billion in Scale AI and appointing its founder, Alexandr Wang, to lead Meta’s new superintelligence lab.
Meta Scores Legal Win in AI Copyright Case
In separate news, Meta has secured a legal win in a copyright lawsuit filed by a group of authors. Writers including Sarah Silverman and Ta-Nehisi Coates had alleged that Meta violated copyright laws by using their books without consent to train its AI models. However, U.S. District Judge Vince Chhabria ruled that the authors failed to provide sufficient evidence that Meta’s AI WOULD harm the market for their work, concluding the company’s actions did not violate U.S. copyright law.
The ruling comes after a similar decision in favor of Amazon (AMZN)-backed Anthropic, signaling growing legal momentum for tech firms developing AI systems.
Chhabria also stated that the ruling doesn’t mean Meta’s use of copyrighted content is legal. Rather, it means that these specific authors didn’t make the right arguments or show strong enough evidence to support their case.
Is Meta a Good Stock to Buy Now?
On TipRanks, META stock has a consensus Strong Buy rating among 46 Wall Street analysts. That rating is based on 42 Buys, three Holds, and one Sell assigned in the last three months. The average Meta price target of $714.26 which is almost similar to the current levels.
