Meta Platforms (META, Financials) has hired Clara Shih, the former chief executive of artificial intelligence at Salesforce (CRM, Financials), to lead its new artificial intelligence business tools division, Jefferies said on Wednesday.
The action represents a major turn in Meta's attempts to profit from its platform ecosystem by use of artificial intelligence.
Shih's expertise leading the development of Agentforce at Salesforce—where she oversaw more than 200 million business users across WhatsApp, Instagram, and Facebook—should support Meta's efforts to build generative artificial intelligence tools and agents, Jefferies said.
The company pointed out Shih already knows Meta's social environment and platforms. For now, Meta has sold its software—including the Llama AI model—into business markets, mostly via corporations like Amazon (AMZN, Financials) and Microsoft (MSFT, Financials).
The news coincides with Meta's attempt to extend its artificial intelligence capacity outside of alliances with businesses like Amazon and Microsoft. Previously, Meta used outside software companies to present to business customers its AI solutions—including its Llama model. Jefferies said the new subsidiary represents a major turning point in Meta's approach to directly interact with business consumers and profit from open-source AI developments.
Jefferies reiterated a "buy" rating for Meta with a price target of $675; META shares are changing hands for $561.75 in Thursday's early market trading, down modestly.
