Meta Platforms' shares rise as revenue beats forecasts on boost from AI tools

Core Insights - Meta Platforms exceeded Wall Street revenue estimates for Q1, reporting $42.31 billion compared to the expected $41.40 billion, indicating strong performance driven by AI tools [1][4] - The company lowered its total expenses forecast for the year to between $113 billion and $118 billion, down from previous expectations of $114 billion to $119 billion [2] - Meta's large user base on social media platforms continues to attract advertisers despite economic uncertainties related to tariffs, which have led other companies to tighten marketing budgets [2][6] Challenges and Competition - Meta is currently involved in a significant trial with the Federal Trade Commission, which is attempting to reverse the company's acquisitions of Instagram and WhatsApp [3] - The company is also addressing concerns about its position in the AI sector, particularly following the underwhelming performance of its recently released Llama 4 large language models [3]