Meta Unveils Llama 4 AI Model Amidst Fierce Competition and High Investor Expectations
April 4, 2025
Meta Platforms is preparing to launch its new AI model, Llama 4, later this month, following multiple delays in its release.
These delays were primarily due to underperformance in key benchmarks related to logical reasoning and mathematical capabilities, which are essential for effective AI applications.
The upcoming release is anticipated to feature enhancements in reasoning, language comprehension, and practical applications, addressing previous shortcomings.
Wall Street analysts project a one-year price target for Meta at approximately $749.34, suggesting a potential upside of 46.64% from its current trading price.
The rivalry among Meta, OpenAI, and DeepSeek reflects a broader trend towards democratizing advanced AI technology, which is reshaping the digital landscape.
Llama 4 is expected to utilize advanced techniques, including a 'mixture of experts' approach, to optimize its performance for specific tasks, drawing inspiration from competitive models.
Brokerage firms currently rate Meta with an average recommendation score of 1.8, indicating an 'Outperform' status and leaning towards 'Strong Buy' on a scale from 1 to 5.
In response to investor expectations, Meta plans to invest up to $65 billion in AI infrastructure throughout 2025, a move that could significantly impact the tech market dynamics.
In addition to Llama 4, Meta is also developing Llama X, which aims to create a Llama API for businesses, potentially opening new revenue streams.
This competitive landscape is further complicated by the emergence of DeepSeek, a Chinese company offering a cost-effective AI model that challenges the belief that superior AI requires substantial financial investment.
Meta has reported that its previous Llama models have been downloaded over one billion times, indicating strong interest and usage among developers and businesses.
Last year, Meta launched Llama 3, which supports multiple languages and has shown improved capabilities in generating high-quality code and solving complex math problems.
Summary based on 6 sources
Get a daily email with more Tech stories
Sources

Yahoo Finance • Apr 4, 2025
Meta nears release of new AI model Llama 4 this month, the Information reports
Yahoo Finance • Apr 4, 2025
Meta Targets April Launch for Llama 4 Despite AI Performance Hurdles
GuruFocus • Apr 4, 2025
Meta Platforms (META) Set to Unveil Llama 4 Model
MarketScreener • Apr 4, 2025
Meta nears release of new AI model Llama 4 this month, the Information reports